Helping micro, small, and medium-sized enterprises make economic and societal impacts with cloud technologies

At Amazon Web Services (AWS), we have the privilege of helping organizations of all sizes solve complex societal challenges. Cloud computing and cloud-enabled technologies like artificial intelligence (AI) and machine learning (ML) are driving innovations that are making positive and lasting impacts on economies and communities around the world. From addressing disparities in access to quality healthcare, to fostering sustainability, our customers and partners are using technology to address some of the world’s biggest issues.

Today, AWS released a report that examines the potential benefits of moving to the cloud for micro, small, and medium sized enterprises (MSMEs) addressing societal issues. Conducted by Accenture, the Realizing a Cloud-enabled Economy: How Cloud Drives Economic and Societal Impact through Micro, Small, and Medium-Sized Businesses report reveals that MSMEs in the healthcare, education, and agriculture sectors are expected to unlock up to US$161B in annual productivity gains and support 95.8 million jobs by 2030, equivalent to 8% of the total employment on average across the 12 countries studied.

MSMEs driving productivity with cloud computing and unlocking the potential of generative AI

Often the unsung heroes of innovation, MSMEs with fewer than 250 employees play a crucial role in addressing societal issues. These MSMEs also account for 99% of all companies, 70% of all jobs, and 60% of the gross domestic product (GDP) on average across Organization for Economic Cooperation and Development (OECD) countries.

The report uses OECD’s definition of cloud adoption levels, including basic adoption such as the use of web-based email services or cloud-based storage solutions; intermediate adoption such as the use of customer relationship management or enterprise resource planning tools; and advanced adoption such as the use of AI and ML tailored for sophisticated tasks, including fraud detection or supply chain forecasting. Accenture uses this methodology to forecast cloud-enabled economy in 2030, where 90% of all businesses adopt at least a basic level of cloud technology. The current average rate of at least basic cloud adoption across all businesses is already above 44% in the countries studied, the average intermediate adoption hovers at 19%, and the average advanced cloud adoption rates stands at 13%. This shows that there are still huge opportunities for businesses around the world to fully realize the potential of cloud technologies.

MSMEs leveraging cloud to digitize their businesses marks the first step towards unlocking a range of economic and societal benefits – including improving access to digital services, enabling productivity gains, and creating new jobs for their local communities. Among the many cloud-enabled technologies available to MSMEs today, AI stands out with the most transformative potential. In fact, 78% of the MSMEs surveyed identified AI (including generative AI and natural language processing) and ML, as the technologies that are likely to drive the most societal impact by 2030. Generative AI is a type of ML powered by large models, including those that understand languages, which are trained on extensive data. MSMEs can use generative AI in many ways to address social challenges, such as assisting medical professionals to analyze patient data and test results to make better and more informed decisions, and to help educators review curricula and learning materials to produce practice exam questions.

Improving access to digital services across healthcare, education, and agriculture

Cloud-enabled technologies can help MSMEs contribute to achieving the United Nations’ Sustainable Development Goals (UN SDGs) of achieving healthy lives and promoting well-being, enabling quality education, and achieving zero hunger.

In healthcare, cloud-enabled MSMEs deliver remote care to medically underserved communities using cloud technology, helping to reduce pressure on hospital resources while providing critical healthcare services in a way that meets the local cultural and language needs. The report estimates that by 2030, cloud-enabled MSMEs providing healthcare solutions are expected to unlock US$77.7 billion in annual productivity benefits and support one in three telehealth consultations, up from one in ten currently. Companies like Osara Health, an Australian cloud-based startup, are transforming cancer care using a mix of empathy and the latest technology. Cancer diagnoses can have a profound impact on patients’ lives, with a staggering 40% of cancer survivors unable to resume their jobs after treatment. Using AWS, Osara Health provides virtual support to patients and caregivers during the cancer treatment phase, increasing their likelihood of returning to work to 73%.

In education, cloud-enabled MSMEs are providing digital enhancements that help make learning more engaging, personalized, and convenient to access at all stages. Empowering individuals with knowledge will in turn enhance economies’ capacity to produce, grow, and innovate. The report estimates that by 2030, one in three primary and secondary students are expected to access online education via cloud-enabled MSMEs to improve their education, up from one in five currently. This is estimated to unlock US$51.8 billion in annual productivity benefits. For example, college entrance exams can be stressful, which is why Brazilian Educational platform, Studos helps students prepare for college entrance exams. Studos built a comprehensive e-learning assessment platform on AWS that analyzes student learning, allows students to set goals, and improves examination results. The platform improved student learning levels by 14%.

In agriculture, cloud-enabled MSMEs are using cloud technology to develop data-driven and more efficient agricultural practices to help address food shortages. The report estimates that by 2030, one in eight farms will use precision agriculture supported by cloud-enabled MSMEs, up from one in 34 currently. For example, Canadian-based OneCup AI provides Bovine Expert Tracking and Surveillance (BETSY), an AI-powered facial recognition, tracking, and surveillance platform for the livestock industry. By using AWS, OneCup AI has been able to build, scale, and run hundreds of tests to find the right combinations of models, datasets, and training techniques, and expand their business globally.

Helping MSMEs seize opportunities with the cloud

Alongside the host of societal and economic benefits that a cloud-enabled economy can deliver, the Realizing a Cloud-enabled Economy: How Cloud Drives Economic and Societal Impact through Micro, Small, and Medium-Sized Businesses report reveals cybersecurity challenges, organizational culture, lack of access to information technology (IT) infrastructure (e.g. software and hardware), and digital skills are the primary barriers to cloud adoption among MSMEs. To address these challenges and realize the potential of a cloud-enabled economy, increased coordination from governments, educators, and industries worldwide is required. Strong policy support from all levels of government is also needed to accelerate cloud adoption for MSMEs.

Since our inception, AWS has helped MSMEs use cloud technologies to seize opportunities in the digital economy and transform their business models. For example, AWS Activate helps startups at the earliest stages looking to accelerate and grow their business. Since 2019, the program has provided more than $2 billion in AWS credits to help startups manage costs, get technical expertise, industry training, and business mentorship.

AWS runs accelerator programs to bolster MSME’s growth, including the AWS Healthcare Accelerators for Health Equity and Workforce Development, which build on the AWS Health Equity Initiative, the AWS Generative AI Accelerator, and the AWS Clean Energy Accelerator. MSMEs that need tailored expertise to drive cloud transformation have access to more than 100,000 AWS Partners in the AWS Partner Network (APN) to support them with tools, resources, and help to create the right solution for their business and customers. Additionally, MSMEs can use the AWS Marketplace to find and deploy pre-configured software solutions through a curated digital catalogue, paying only for what they use.

We believe that businesses of all sizes have immense potential to make significant contributions to our economies and societies. While we are proud of our history of supporting MSMEs, this new research shows businesses will be able to make an even greater impact by further accelerating their use of the cloud. AWS will continue to work with governments, educators, and industry to empower businesses all over the world to transition to the cloud, to unlock productivity and make societal impact to create a better future for all.

Learn more about the Realizing a Cloud-enabled Economy: How Cloud Drives Economic and Societal Impact through Micro, Small, and Medium-Sized Businesses report.