Italian SMEs face dual-speed transition as AI adoption accelerates but caution prevails

Letizia Magaldi, third‑generation leader of the historic Italian engineering firm Magaldi, says Italy has the technologies needed to decarbonise industry but lacks a coordinated industrial policy to create demand and scale production. She argues that maintaining research and production in the south of Italy can be an advantage and that the company now serves markets in about 50 countries, from Australia to Canada, while pushing renewable energy, storage and process electrification.

Data from Istat, the Politecnico di Milano and the CNA show that Italian small and medium‑sized enterprises (SMEs) are moving in two directions. Use of artificial‑intelligence tools rose from 6 % in 2023 to 16.4 % in 2026, with large firms adopting it most, while only 14 % of the smallest firms have done so. The main barrier is a shortage of internal skills; 76 % of SMEs have not invested in AI and few run structured training programmes. At the same time, welfare provisions are improving, with more than three‑quarters of firms now exceeding average welfare levels.