Telecom. IT: Seven out of ten companies adopt AI in Romania, but 75pct fear economic risks

Seven out of 10 (71%) companies in Romania are adopting Artificial Intelligence, but 75% fear economic risks, according to a research of the EY Entrepreneurship Barometer."In the current context, marked by geopolitical instability and rising inflation, it is essential for businesses in Romania to adapt quickly. Our study shows that 90% of companies are concerned about geopolitical risks, and 83% are facing the effects of inflation. These data highlight the need for clear risk management strategies. Local regulations are also perceived as complicated and resource-consuming - with 33% of companies considering them a major obstacle to development, which makes their simplification essential," said Bogdan Ion, Country Managing Partner, EY Romania, and Chief Operating Officer for EY Central and South-Eastern Europe and Central Asia Region, quoted in a press release.According to the research, innovation is a top priority for Romanian companies, with around 60% investing in process innovation and strategic marketing, compared to their counterparts in Central, Eastern and South-Eastern Europe (CESA), where only 46% focus on process innovation and 38% on strategic and marketing innovation. This shows an active and dynamic Romanian entrepreneurial environment, where the use of artificial intelligence (AI) is significant, with 71% of companies reporting an increasing level of use of these technologies in the last 12 months, compared to 61% of entrepreneurs in CESA. In addition, 67% are improving their websites and 63% are implementing CRM systems, highlighting the transition towards digitalisation and automation.Investments in process automation are planned by 58% of companies, and 71% are focused on updating IT systems. However, entrepreneurs are cautious, with 75% perceiving economic risks and market uncertainties as significant obstacles to their investment plans.According to the study, the labour market outlook is optimistic and 46% of companies forecast long-term hiring. However, 69% are facing difficulties in finding qualified candidates. Managing labour costs and ensuring competitive compensation are major challenges, highlighting the importance of an organizational culture conducive to employee retention.Geopolitical instability and inflation are the main concerns for Romanian entrepreneurs, with 90% of them expressing concerns about geopolitical instability and 83% about inflation, which highlights the need for solid risk management and cost control strategies to maintain financial stability and profitability in an increasingly challenging economic environment. With 77% of companies concerned about rising labor costs, effective workforce management strategies are becoming essential for attracting and retaining talent. In addition, organizations need to optimize their operations and explore energy efficiency measures to mitigate rising expenses and improve overall financial performance.The survey was launched in the first quarter of 2025 across the EY CESA region, which includes Central, Eastern and South-Eastern Europe, as well as Central Asia. In Romania, a total of 48 respondents participated, while at the CESA level, the survey collected responses from 1,032 participants.