TLDR: A recent report reveals nearly half of Australians have engaged with generative AI tools, marking a significant surge in adoption. While this presents new opportunities, it also highlights a growing ‘AI divide,’ with uneven uptake across demographics, raising concerns about exacerbating existing social and economic inequalities.
Australia is experiencing a rapid increase in the adoption of generative artificial intelligence (AI) tools, with recent data indicating that almost half of the population has engaged with these technologies. The latest findings from the Australian Digital Inclusion Index, a collaborative effort by the ARC Centre of Excellence for Automated Decision-Making and Society, RMIT University, Swinburne University of Technology, and Telstra, underscore both the transformative potential and the emerging challenges of this technological shift.
The report, based on the 2024 Australian Internet Usage Survey of over 5,500 adults, reveals that 45.6% of Australians have recently used a generative AI tool. This figure is slightly higher than rates observed in a 2024 Australian study (39%) and in the United Kingdom (41%). The surge in usage is particularly pronounced among certain demographics. Students lead the charge, with a striking 79% reporting recent use of generative AI. Similarly, 69% of adults aged 18 to 34 have also embraced these tools, indicating a strong comfort level among younger generations.
However, this widespread adoption is not uniform, leading to concerns about a burgeoning ‘AI divide.’ Distinguished Professor Julian Thomas from RMIT University, a Chief Investigator for the study, noted that while GenAI creates new opportunities, it also presents fresh challenges regarding digital inclusion. The divide is evident across various groups:
Age: Younger Australians are significantly more likely to use AI than their elders. While over two-thirds (69.1%) of 18- to 34-year-olds use GenAI, less than 1 in 6 (15.5%) of those aged 65 to 74 do.
Education and Profession: Individuals with higher education and professional roles show greater engagement. For instance, 62% of those with a bachelor’s degree use GenAI, compared to 37.2% of high school graduates and a mere 4.2% of those who left school at year 10. Professionals (67.9%) and managers (52.2%) are far more likely to use these tools than machinery operators (26.7%) or labourers (31.8%).
Location: Regional Australia continues to lag behind metropolitan areas in digital inclusion. While overall use of chatbots for social connection is low (8.6%), users in remote areas are more than twice as likely (19%) as metropolitan users (7.7%) to engage with AI chatbots for conversation, perhaps highlighting technology’s role in combating isolation.
Language and Disability: Australians who speak a language other than English at home reported significantly higher use (58.1%) compared to English-only speakers (40.5%), likely due to advancements in AI-powered translation. Approximately one-third (33.9%) of people with disabilities have also used GenAI, often for entertainment and advice.
The report also highlights an overall strengthening of Australians’ digital skills and confidence, with an 8.7-point increase between 2023 and 2025, reaching 73.6. Significant improvements in digital literacy were particularly noted among older Australians, with those aged 75 and above seeing their digital ability scores rise from 23.3 to 41.5. Despite these gains, the journey toward complete digital inclusion remains challenging, with gaps persisting between capital cities and regional areas, and specific states like Tasmania, South Australia, and Queensland showing below-average scores in access, affordability, and digital ability. The Northern Territory, in particular, faces significant access hurdles.
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Common uses of GenAI among Australians include text generation (82.6%), image generation (41.5%), and code generation (19.9%). A smaller segment, 13.6%, are paying for premium or subscription GenAI tools, with 18- to 34-year-olds being the most likely to subscribe (17.5%). The findings suggest that while generative AI offers unprecedented opportunities for productivity and creativity, its uneven adoption risks deepening existing social and economic inequalities, necessitating careful consideration of policies to ensure equitable access and benefits for all Australians.
