Petro Magos, founder of Magos Media and Venteri Capital

As Global Entrepreneurship Week 2025 kicks off under the theme "Together We Build," a harsh truth emerges for entrepreneurs and South Africa's small, medium, and micro enterprises (SMMEs): artificial intelligence has created a new economic divide, and businesses on the wrong side of it face irrelevance.

Serial entrepreneur Petro Magos, founder of Magos Media and Venteri Capital, issues a stark warning, "AI won't replace entrepreneurs – but it will expose those who can't adapt. We're past the point of debating whether to use it. The question now is: will you evolve, or will you disappear?"

THE NEW BUSINESS BATTLEFIELD

In a country where SMMEs, many founded and run by entrepreneurs, contribute approximately 34% to GDP and employ nearly 60% of the workforce, the stakes couldn't be higher.

"Every SMME owner I speak to is asking the same question: 'Was this written by AI?' That uncertainty tells you everything," says Magos. "We're standing at a crossroads. One path leads to acceleration and competitive advantage. The other leads to irrelevance."

South African businesses that have integrated AI tools report significant productivity gains, but adoption remains dangerously low among entrepreneurial ventures and SMMEs – the very backbone of job creation and economic growth the country desperately needs.

ADAPT OR DIE: NO MIDDLE GROUND

Magos's message isn't gentle, and it's not meant to be. "The AI cat is out of the bag. You have exactly two choices: ignore it and fall behind, or learn to use it intelligently without sacrificing what makes your business human."

Operating across multiple ventures, Magos has pressure-tested AI integration in real-world conditions:

At Venteri Capital, an AI-assisted application system processes founder data, slashing initial screening time and freeing the team to focus on critical due diligence and investment decisions.

At Magos Media, AI handles the repetitive groundwork - concept generation, data gathering, content structuring - that traditionally consumes valuable creative hours at Marketing Agencies. "It's not replacing creativity," Magos explains. "It's giving us the headspace to interpret, refine, and create work that actually moves people."

The results speak volumes: faster turnaround times, sharper decision-making, and freed-up human capital to tackle high-value strategic work.

TOGETHER WE BUILD – BUT BUILD SMART

This year's Global Entrepreneurship Week theme takes on new meaning in the age of AI. Entrepreneurs aren't just building businesses; they're building the infrastructure for the country's economic future.

"SMMEs are our innovation engine, our job creation machine," says Magos. "But if we don't equip entrepreneurs with the tools to compete in an AI-enabled world, we're building on sand."

His approach is deliberate: "Start slow to go fast. Pilot one process. Learn from it. Iterate. The goal isn't to automate for efficiency's sake – it's to build processes that make you better at what you do."

THE REAL RISKS – AND HOW TO MANAGE THEM

Magos doesn't sugarcoat the dangers: data leaks, IP exposure, AI "hallucinations," and team complacency all pose genuine threats.

"The biggest risk isn't technical, it's cultural," he warns. "If your team stops questioning, they stop thinking. If they stop thinking, innovation dies."

His prescription: clear data policies, restricted uploads for sensitive information, team training, and above all, human oversight.

PIVOT OR FALL BEHIND

For entrepreneurs, the message is clear: "The entrepreneurs who will win the next decade aren't the ones who resist AI or worship it," Magos states. "They're the ones who test, learn, adapt, and never stop questioning. AI won't replace those people. But it will expose everyone else."

Adaptability is now the ultimate entrepreneurial skill. Those who embrace AI strategically while maintaining their human edge will thrive. Those who don't will become cautionary tales.

"You can't hold onto outdated processes forever," Magos warns. "That's not failure to change – that's choosing extinction. And South Africa's economy can't afford that choice from its most vital business sector."

CALL TO ACTION

As entrepreneurs celebrate their achievements during Global Entrepreneurship Week 2025, the challenge is clear: adopt AI strategically, maintain human judgment, and build businesses equipped for an accelerated future.

The divide is real. The choice is urgent. And together, South African entrepreneurs must build not just for survival, but for dominance in an AI-driven world.