Goldman Sachs has launched the Small Business AI Institute, backed by a $500 million commitment. The initiative aims to support participants of the bank's long-running 10,000 Small Businesses program, which has served nearly 20,000 entrepreneurs since its inception in 2010.
The institute partners with Anthropic, Google, Meta, and OpenAI to facilitate AI adoption. Despite these collaborations, CEO David Solomon noted that most small businesses do not require the most powerful frontier models, suggesting that competition will likely focus on cost, reliability, and ease of use.
Data from an August 2026 Babson College survey indicates that 86% of program alumni use AI in their operations, up from 56% in 2024. However, only 15% of respondents have fully integrated AI into their core business functions.
The bank has invested a total of $1.25 billion in its small business support efforts. Alumni companies currently generate over $32 billion in annual revenue and have created more than 350,000 jobs, with growth rates in employment four times higher than comparable US firms.
