AI in Business | February 21, 2025

Welcome to our latest edition of the AI in Business Newsletter!

This week, we're tracking significant shifts in AI accessibility and capabilities, with major developments that are reshaping how businesses interact with AI technologies. OpenAI's move to adjust ChatGPT's content moderation policies marks a strategic shift toward more nuanced AI interactions, while Elon Musk's xAI has entered the competitive landscape with their ambitious Grok-3 model.

Perplexity's launch of their freemium Deep Research feature represents a democratization of AI-powered research tools, making enterprise-grade capabilities accessible to businesses of all sizes. This development could transform how organizations approach market research and strategic planning.

Our AI in Business 101 section provides a practical framework for identifying ideal starting points for AI integration, helping businesses navigate the initial steps of AI adoption with confidence and clarity.

Plus, don't miss our detailed review of Perplexity's Deep Research tool, which offers a compelling alternative to expensive enterprise research solutions at a fraction of the cost.

Let's dive in.

Top AI in Business News Stories

OpenAI Attempts to Uncensor ChatGPT

In a recent move, OpenAI is adjusting ChatGPT’s content moderation policies to allow for freer expression while maintaining ethical guidelines. The company is experimenting with less restrictive filters to make AI more useful, enabling it to provide more comprehensive answers to complex queries, including sensitive topics, under strict safeguards. The goal is to balance accessibility to information with responsible AI use, ensuring responses remain accurate and aligned with safety standards.

Implications for Average Businesses

This development allows AI tools like ChatGPT to engage in more open and nuanced conversations, enhancing customer service, content creation, and brainstorming by reducing automatic content filtering. Businesses may gain access to more detailed guidance on complex topics, from legal inquiries to technical support, improving decision-making and customer interactions. However, it’s crucial to ensure AI-generated content aligns with brand values, legal standards, and consumer expectations. While this update offers SMBs a competitive edge through more accurate and responsive AI, businesses must remain mindful of ethical use and responsible AI management.

Elon Musk's xAI Unveils Grok-3 AI Model to Compete with Industry Leaders

Elon Musk’s AI company, xAI , has released Grok-3, its most advanced AI model to date, designed to compete with OpenAI’s ChatGPT and Google’s Gemini. xAI claims Grok-3 is significantly more powerful than its predecessor, leveraging the Colossus supercomputer with 200,000 GPUs to enhance reasoning, accuracy, and speed. It introduces new features like DeepSearch, which provides detailed explanations for its answers, and Big Brain Mode, which enhances problem-solving capabilities. Unlike other AI models with stricter content moderation, Grok-3 is positioned as a more open-ended AI system. Grok-3 is being rolled out slowly via the Grok app, and a smaller Grok-3 mini version promises faster responses.

Implications for Average Businesses

Grok-3’s appeal lies in its ability to handle more complex reasoning and detailed explanations than previous models, making it particularly useful for tasks like advanced customer support, market research, and AI-driven decision-making. Its looser content moderation could mean fewer restrictions when discussing sensitive or technical topics, but that also comes with risks—businesses will need to ensure AI-generated content aligns with brand guidelines and compliance standards. Compared to ChatGPT and Gemini, xAI markets Grok-3 as the most advanced reasoning AI, claiming it provides deeper insights rather than just predictive responses. However, its effectiveness in real-world applications remains to be seen, especially with OpenAI and Anthropic expected to release their next-generation models soon. With the AI landscape evolving rapidly, will Grok-3’s self-proclaimed ‘smartest AI on Earth’ title stand for long? SMBs exploring AI adoption should watch closely and weigh their options as competition among AI leaders intensifies.

Perplexity Launches Freemium Deep Research Feature

Perplexity has introduced Deep Research, an AI-powered tool designed to automate and enhance in-depth research. Unlike traditional search engines that return a list of links, Deep Research autonomously conducts multi-step searches, reads hundreds of sources, and synthesizes key insights into structured reports—all in just a few minutes. This feature positions Perplexity as a direct competitor to OpenAI’s and Google’s deep research tools, but with a major advantage: Perplexity offers free access for casual users (five reports per day), while OpenAI charges $200/month for a similar service.

The tool has already demonstrated impressive capabilities, outperforming some competing AI models in benchmarking tests like Humanity’s Last Exam, though it still falls short of OpenAI’s top-tier performance. CEO Aravind Srinivas has positioned Deep Research as a direct challenge to OpenAI, emphasizing its accessibility and affordability as key differentiators.

Implications for Average Businesses

Perplexity’s Deep Research offers a powerful way to streamline market research, competitive analysis, and strategic planning without the time-consuming process of manually sifting through sources. Businesses can use the tool to:

• Quickly gather industry insights to stay ahead of trends.
• Analyze competitors’ strategies based on real-time data.
• Summarize regulatory updates and legal considerations relevant to their operations.
• Support content creation by generating well-sourced research for blogs, reports, and presentations.

However, while Deep Research significantly reduces research time, businesses should still verify AI-generated findings, especially for critical decision-making. Since the tool relies on publicly available data, it may not replace proprietary research or expert analysis. SMBs should treat it as a highly efficient research assistant, not a substitute for strategic judgment.

With AI-driven research tools rapidly evolving, the question is no longer if AI will transform business research—but how quickly it will become an essential part of daily decision-making.

AI in Business 101 - Identifying Ideal Starting Points for AI Integration

AI is a powerful tool, but its real value comes from using it in ways that are both practical and impactful. The key to successful AI adoption isn’t a massive overhaul—it’s about integrating AI into the work you’re already doing.

Rather than expecting AI to take over entire processes, the best approach is to use AI as an assistant that enhances efficiency, saves time, and improves decision-making. Below is a structured method for identifying the best areas to start using AI in your business.

1. Start with Work You’re Already Doing

The fastest way to integrate AI is by applying it to existing processes. Instead of reinventing workflows, look at where AI can enhance, support, or speed up tasks you’re already performing.

Ask yourself:

• Are there tasks that take up too much time?
• Do employees spend time on repetitive, low-value activities?
• Is there a process that could benefit from faster analysis or summarization?

Real Example: One of our clients, a construction company, needed a better way to manage subcontractor proposals. Instead of manually reviewing dozens of documents, they used AI to extract key pricing and scope details from proposals, compare options, and generate summaries—cutting hours off the process while improving accuracy.

2. Choose Simple but Meaningful AI Tasks First

Many businesses struggle with AI adoption because they start with tasks that are too complicated. Instead, begin with simple, structured tasks that deliver quick wins and build confidence.

Some strong starting points:

• AI-Powered Summarization: Upload meeting transcripts and have AI extract action items, key decisions, and follow-up tasks.
• Document Drafting & Editing: Use AI to generate first drafts of emails, proposals, or reports, then refine them as needed.
• Data Organization & Categorization: AI can quickly sort through large amounts of unstructured information, whether it’s past invoices, customer feedback, or lead lists.

Real Example: The Tucson Metro Chamber used AI to analyze policy documents and generate quick, digestible summaries for members, making it easier to keep businesses informed.

3. Integrate AI Alongside Your Team, Not As a Replacement

AI works best when it supports employees rather than replacing them. It should assist decision-making and improve workflows rather than be relied on for final outputs.

Instead of fully automating hiring or customer service, businesses can:

• Use AI to pre-filter job applicants by sorting resumes based on key qualifications, rather than having AI make the hiring decision (avoiding bias issues like Amazon’s failed AI hiring system).
• Enhance customer service by using AI to draft responses to inquiries, which are then reviewed by a human before sending.
• Improve sales & marketing by having AI generate personalized email campaigns based on past customer interactions.

Real Example: A chamber of commerce wanted to increase sponsorship sales. They used AI to analyze past sponsorship data and identify businesses most likely to renew. AI then drafted personalized outreach messages for their team, leading to a 30% increase in successful renewals.

Why This Approach Works for SMBs

• Immediate Results – Focusing on small, impactful tasks leads to fast improvements in efficiency without major disruptions.
• Low-Risk Implementation – AI isn’t replacing jobs but making existing processes more effective.
• Scalability – Once you see success in one area, AI can be expanded into other parts of your business based on real needs.

Practical Applications

Here are real-world examples of how AI is transforming SMBs:

• Personalized Customer & Member Outreach – AI analyzes past interactions to generate tailored follow-up messages, sponsorship proposals, and renewal campaigns, improving response rates. (Example: Tucson Metro Chamber saw a 30% increase in completed tasks using AI.)
• Proposal & Contract Generation – AI assists in drafting contracts and RFP responses based on existing templates, reducing turnaround time. (Example: A construction company we trained used AI to streamline proposals, cutting hours off the process.)
• Legislative & Policy Analysis – AI can scan and summarize legislation, helping businesses understand regulations faster. (Example: One of our AGC chapter clients automated the analysis of labor agreements, saving significant time in compliance tracking.)
• Event Promotion & Content Marketing – AI helps create social media content, email campaigns, and event descriptions in minutes. (Example: Clemson Chamber used AI to refine event promotion and boost engagement.)
• Predictive Business Insights – AI analyzes past sales data to forecast inventory needs, spot customer trends, or flag financial risks. (Example: A client used AI to uncover missing payments in financial reconciliations.)
• Streamlined Project & Task Management – AI turns meeting notes into task lists, sets automated follow-up reminders, and generates reports. (Example: A client of ours used AI to organize field notes and vendor tasks, improving project execution.)

Final Thoughts

The best way to implement AI is to start small, choose meaningful applications, and let AI support—not replace—your team.

SMBs don’t need complex AI systems or costly custom models. Off-the-shelf AI tools can have an immediate impact when used strategically within existing workflows.

• Begin with a task you already do.
• Use AI to assist, not replace human judgment.
• Scale up based on what works.

Start small, think big, and scale smartly.

Featured AI Tool of the Week - Perplexity Deep Research

Perplexity.ai has been making waves in AI-powered search, and we previously featured it in our February 1, 2024 Edition 14 of this newsletter. At that time, we highlighted its AI-driven search capabilities, which provide direct answers instead of a list of links, along with features like Copilot-assisted queries and custom source selection. Now, Perplexity has introduced Deep Research, a major upgrade designed to take AI-powered research to the next level.

What’s New with Deep Research?

Unlike the standard Perplexity search, which summarizes web content, Deep Research autonomously conducts multi-step research, scans hundreds of sources, and synthesizes key insights into structured reports—all in just a few minutes. This feature positions Perplexity as a competitor to OpenAI’s and Google’s deep research tools, but with a significant advantage: Perplexity’s version is free for casual users (five per day), while OpenAI charges $200/month for a similar service.

Key Functionality

• Autonomous Multi-Step Research – Conducts extensive searches across various sources, compiling insights into a well-structured report.
• Real-Time Source Attribution – Provides cited references for transparency and credibility.
• Competitive & Market Analysis – Identifies trends, key players, and industry developments.
• Content Summarization & Synthesis – Extracts essential details from complex topics, reducing research time.
• Interactive Refinement – Allows users to adjust search parameters for deeper insights.

Benefits

• Faster, More In-Depth Research – Replaces hours of manual searching with comprehensive reports in minutes.
• Increased Accuracy & Transparency – Cited sources provide credibility, reducing misinformation risks.
• Competitive Advantage for Businesses – Supports strategic decision-making with AI-powered insights.
• Cost-Effective Research Alternative – Free for casual users, with a Pro version offering expanded access.

GCM’s Perspective: A Research Assistant, Not a Replacement

Deep Research is a powerful tool for gathering and organizing information, but human oversight remains essential. Businesses using AI for research should:

• Define clear research objectives to guide AI queries effectively.
• Cross-check sources and validate AI-generated findings before making business decisions.
• Use AI research as a starting point, not a substitute for industry expertise.

Drawbacks

• Not a Replacement for Proprietary Research – AI cannot access paywalled reports or proprietary data.
• Potential for Over-Summarization – Some details may be simplified or omitted.
• Requires Human Verification – While sources are cited, fact-checking is necessary for accuracy.

Cost

• Free Plan – Up to five Deep Research reports per day.
• Pro Plan ($20/month) – Expanded access with increased research capabilities.
• Enterprise Pricing – Custom plans for businesses needing advanced AI research tools.

Conclusion

Perplexity’s Deep Research is a game-changer for businesses needing fast, reliable insights. Whether for competitive intelligence, market analysis, or strategic planning, this tool enhances research efficiency without the steep costs associated with similar AI offerings.

Final Tip: Use Deep Research as a supplementary tool to speed up information gathering, but always apply human judgment to ensure findings align with your business needs and industry-specific expertise.

Stay Tuned and in Touch

This week's newsletter highlights how AI is becoming both more powerful and more accessible—from OpenAI's evolving content policies to Perplexity's game-changing approach to AI research tools. The rapid advancement of models like Grok-3 and the democratization of enterprise-grade AI capabilities signal an exciting time for businesses looking to enhance their operations.

Our focus on practical AI integration strategies shows that you don't need complex systems or massive budgets to start benefiting from AI—just a clear understanding of where and how to apply it effectively in your existing workflows.

Stay tuned for more insights and practical AI solutions in next week's edition!