AI Adoption in Small-Scale Industries under Industry 4.0 with 5.0: A Critical and Brief Review

: The rise of Industry 4.0 has reshaped global manufacturing, with Artificial Intelligence (AI) driving smart production and digital transformation. While large enterprises rapidly adopt AI to boost efficiency and decision-making, small-scale industries (SSIs) face barriers such as high costs, limited skills, weak infrastructure, and data security concerns. This review critically examines AI adoption in SSIs under Industry 4.0 and 5.0, outlining applications in predictive analytics, automation, supply chain management, and customer engagement. It highlights how Industry 5.0 shifts the focus from a rapid automation toward human-centric, sustainable, and resilient practices, where AI supports personalization, sustainability, and human-machine collaboration. The study concludes that although AI offers significant potential for SSIs, successful integration requires structured roadmaps emphasizing awareness, skill development, and ecosystem-level support