Most New U.S. Businesses Don’t Survive a Decade, and the First Year Is Still the Steepest Drop-Off Point

Starting a business may feel easier these days, especially with digital tools and AI doing much of the heavy lifting. But staying in business is another story. A fresh idea and a website can get you started, yet the road beyond the first year is anything but smooth.

Data gathered by LendingTree, based on historical records from the Bureau of Labor Statistics, paints a sobering picture. For every 100 businesses launched in a given year, only about 35 are still standing after ten years. The drop-off begins early and continues steadily.

In the first year alone, around 21 out of 100 businesses go under. By year two, the survival rate falls further, with just 65 still active. The third year chips away again, leaving roughly 59 still in the game. From there, the decline doesn’t hit as hard year by year, but the damage adds up. After five years, just over half of the original group remains. Beyond that, each additional year trims the number bit by bit, until only a third make it to the ten-year mark.

The early collapse isn't surprising when you look at the demands placed on new business owners. Most are new to the job, and it takes time to get a business off the ground. Revenue usually doesn’t show up right away, and profit is even slower to appear. That means founders often face long hours with little payoff, all while dealing with financial stress and constant uncertainty. The pressure can be relentless, and without enough runway, many end up folding before they’ve had a real shot.

Even experienced workers face a learning curve when switching from employee to entrepreneur. Running a business involves wearing more hats than most are used to. Sales, customer outreach, product development, budgeting, hiring, marketing, these responsibilities don’t split themselves. Mistakes pile up, confidence can slip, and decisions made in panic can sink the ship before it gets moving.

There is some relief with time. Survival rates slow their downward spiral as businesses mature. Those that make it past the halfway point tend to have found a rhythm. But even then, the numbers don’t promise safety. Only about 35 out of 100 will celebrate their tenth anniversary, meaning two-thirds still drop out before the finish line.

Since the pandemic, Americans have embraced entrepreneurship in large numbers. Remote work, economic shifts, and the lure of independence gave rise to a wave of new ventures. Applications for new businesses remain higher than they were before 2020, and the ease of launching online continues to attract first-time founders.

Artificial intelligence has played a part in that surge. It now acts as a brainstorming tool, a salesperson, and a marketing engine, all rolled into one. With fewer barriers than ever, more people are jumping into the game.

But jumping in is the easy part. Holding steady when the tide turns, that's where most businesses struggle. As the numbers show, launching isn’t the hardest part. Staying afloat is.

Time Frame	% of Businesses that Survive	% of Businesses that Fail
Start	100%	0%
Within 1 year	78.5%	21.5%
After 2 years	65.1%	34.9%
After 3 years	59.2%	40.8%
After 4 years	57.3%	42.7%
After 5 years	51.6%	48.4%
After 6 years	47.5%	52.5%
After 7 years	43.2%	56.8%
After 8 years	39.9%	60.1%
After 9 years	37.4%	62.6%
After 10 years	34.9%	65.1%

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by Irfan Ahmad via Digital Information World

Data Reveals Shifting Patterns in DDoS Attacks, With Business Rivals Driving Majority of Identified Threats

Cloudflare’s latest quarterly analysis of Distributed Denial-of-Service (DDoS) threats paints a complicated picture of how digital attacks are evolving across industries and regions. Although overall attack volumes dipped from earlier peaks, the data reveals that hyper-scale offensives are becoming more intense and, in many cases, surprisingly brief.

During the second quarter of 2025, Cloudflare’s systems automatically mitigated over 7.3 million DDoS attempts. While this figure reflects a substantial drop from the first quarter, which saw an unusual spike linked to an extended campaign targeting core internet infrastructure, the underlying pressure remains high. Compared to the same quarter last year, attack activity has grown significantly, with HTTP-based attacks increasing by well over 100%.

A notable change is the surge in what the company calls hyper-volumetric attacks, offensives that reach a scale previously considered rare. On average, Cloudflare blocked 71 of these every day throughout the quarter. Some of these incidents exceeded thresholds of one terabit per second in bandwidth or one billion packets per second in volume. While most of these outbursts are short, their intensity often pushes unprotected servers to failure before countermeasures can be activated.

Cloudflare also sought to understand who’s behind these attacks. Only a portion of affected customers could confidently identify the origin, but among those who did, most pointed to industry competitors. The gaming, gambling, and crypto sectors stood out as hotspots for this type of commercial sabotage. State-linked actors, extortionists, and misconfigured internal systems were also cited, but to a much lesser extent.

In parallel, ransom-driven DDoS incidents, where attackers demand payment under threat of disruption, rose sharply during the quarter. June saw a particular spike, with a noticeable increase in reports of threats and confirmed ransom attempts. This reflects a trend toward financially motivated DDoS activity that’s becoming more common across both public and private sector targets.

On the geographical front, attack origins and targets continued to shift. The most frequently targeted locations during the quarter were not necessarily political hotspots but rather countries with a high density of digital infrastructure. China moved to the top of the list, followed by Brazil, with Vietnam and Russia also jumping significantly in the rankings. It’s important to note that these figures don’t indicate political targeting; rather, they reflect customer billing regions associated with the attacked services.

Among the sectors most affected, telecommunications and IT service providers remained under the most frequent assault. Other industries that saw a high volume of attacks included gaming, financial services, and retail, while the agriculture and software sectors also experienced unexpected rises. Government entities rounded out the top ten.

From a technical standpoint, Cloudflare’s data pointed to an increase in botnet activity sourced from virtual cloud servers rather than traditional consumer devices. Providers like DigitalOcean, Microsoft, and Tencent were frequently observed as launch points for these attacks, largely due to how easily bad actors can spin up temporary machines on these platforms. Interestingly, networks offering virtual machines were far more prominent among the top sources than those built around standard internet service.

When breaking down attack methods, DNS floods, SYN floods, and UDP-based disruptions made up the bulk of low-level network attacks. At the application layer, volumetric HTTP floods dominated. Emerging threats also became more visible, with attackers revisiting older protocols like RIPv1 and VxWorks in an apparent attempt to bypass modern defenses.

Although many of these attacks are small and short-lived, their frequency and unpredictability create a persistent threat. Even relatively modest attacks, if timed correctly, can disrupt web services, particularly for servers lacking advanced mitigation tools. Some of the most impactful bursts lasted less than a minute but reached traffic levels exceeding the entire bandwidth capacity of a typical enterprise.

To counteract these threats, Cloudflare continues to offer a real-time threat feed to service providers. This system allows internet infrastructure companies to automatically identify and act against known botnet sources operating within their own networks. So far, hundreds of organizations have joined this program, which appears to be gradually improving coordination across the industry.

While the tools to resist these attacks are improving, the data suggests that adversaries are adapting quickly. With botnets growing stronger and attack vectors becoming more complex, the second half of the year is likely to test the resilience of online services even further, especially for those without always-on protection in place.

Read next: Meta Prepares Broader Rollout of Age Verification Tool to Meet New Compliance Standards
by Asim BN via Digital Information World

Meta Prepares Broader Rollout of Age Verification Tool to Meet New Compliance Standards

Meta is preparing to expand its video selfie verification tool as governments increase pressure on platforms to restrict access based on user age. This step follows recent updates to Facebook’s support page, where the platform now states that people trying to access age-limited features may be asked to prove their age.

Verification Using ID or Selfie

Anyone who appears underage and tries to access content for adults could be prompted to submit additional information. Facebook offers two options: upload a government-issued ID or take a video selfie. The image from the selfie is sent to an external company that estimates the user’s age. This estimate is used to confirm eligibility and does not involve personal identification.

Meta has worked with an age verification provider called Yoti in earlier trials. Video selfies were already available in some regions, but the company is now taking steps to expand the process across more countries. This aligns with new legal requirements focused on content access controls.

Regulations in Multiple Countries

In the United Kingdom, a new safety law requires platforms to stop children from viewing inappropriate material. Other countries are moving in the same direction. Australia is close to approving similar rules. France, Denmark, and Greece are backing stronger enforcement policies that raise the minimum digital access age.

Meta issued a public statement supporting a shared approach to age rules across the European Union. The proposal would introduce a common threshold, likely starting at age 15, with the possibility of raising it to 16 depending on further review.

Broader Impact on Platforms

The changes may reduce the number of underage users who can interact with adult content. Meta appears to be preparing systems that meet this expectation. By using verified images and external checks, the company is signaling that it is building tools for compliance.

If the process proves accurate, more countries could require similar checks. Larger companies may be able to handle these systems more easily. Smaller platforms or those without similar infrastructure could face challenges. Enforcement may include penalties for non-compliance.

Meta’s approach shows a shift toward stricter age controls as part of global platform policy changes. The tools being tested may become part of a wider standard that applies across regions.

While adding age verification tools like video selfies may help social platforms comply with child safety regulations, relying on AI for this process has raised concerns. Some users have expressed discomfort and distrust toward Meta’s video selfie system, citing issues ranging from lack of camera access to privacy fears. Comments on a Digital Information World blog post reflect frustration from users who feel excluded due to disability, illness, or personal beliefs. Several users reported quitting the platform entirely after being asked for a video selfie, describing the requirement as intrusive, discriminatory, or technically unfeasible.

Read next: Google Search Adds AI Calling Feature for Local Business Queries
by Web Desk via Digital Information World

Google Search Adds AI Calling Feature for Local Business Queries

Google has launched a new AI feature inside its search results that can call local businesses on behalf of users. The tool is designed to collect practical details such as pricing, opening hours, or booking availability.

When users search for nearby services like pet grooming or dry cleaning, they may now see a button labeled “Have AI check pricing.” Tapping the button allows the system to place one or more calls, retrieve the requested information, and return the results within the search page.

Feature Built on Earlier Voice System

The voice tool builds on earlier technology known as Duplex, which Google introduced in 2018. That version was tied to Google Assistant and could place calls for specific tasks like restaurant bookings. In this update, the system has been moved into Search directly. The AI speaks in a clear tone and gathers the business response without user involvement. All calls are recorded for quality review and only made during typical business hours.

Business Opt-Out and Call Limits

Google has provided a way for businesses to opt out of receiving these automated calls. Owners can make the change in their Google Business Profile. During a call, a business can also ask the system not to contact them again. The feature is currently rolling out across most of the United States. It is not available in Indiana, Louisiana, Minnesota, Montana, or Nebraska due to local restrictions.

Available to Subscribers with Extra Features

While the basic version is reaching regular users, Google AI Pro and AI Ultra subscribers receive higher usage limits. These paid tiers also unlock access to new tools being tested under AI Mode. One of them is Gemini 2.5 Pro, which is a more advanced model used for tasks like maths, code generation, and reasoning-based queries. Users can switch to Gemini 2.5 Pro using a dropdown option in Search. By default, Search still uses a general-purpose AI model for everyday questions.

Deeper Search and Research Tools

Another premium feature being rolled out is Deep Search. This tool helps users conduct extended research by scanning hundreds of sources, comparing information, and presenting a summarised output. It is designed for situations where users need longer or more detailed answers, such as planning a major purchase or analysing financial options. Deep Search is only available to AI Pro and AI Ultra subscribers who have opted into the AI Mode experiment through Google Labs.

Part of a Broader AI Push in Search

The voice-calling function is just one part of Google’s broader effort to expand AI in Search. The company is adding tools that reduce manual steps, automate simple interactions, and return richer results inside the same page. While some features are still restricted to paying users, the overall plan is to gradually introduce smarter and more capable services to more people.

Read next: Survey Finds Workers Rely on AI Even When Employers Provide No Formal Policy
by Irfan Ahmad via Digital Information World

Survey Finds Workers Rely on AI Even When Employers Provide No Formal Policy

A new survey of U.S. professionals reveals that 20 percent are using artificial intelligence tools at work without their employer’s knowledge or formal permission. Despite unclear policies in many workplaces, AI appears to be gaining steady ground among employees in marketing, sales, and operations.

AI Use Drives Confidence and Efficiency

Among those surveyed, 77 percent said using AI tools regularly helps them feel more confident in the quality of their work. Seventy-five percent believe AI enhances their company’s ability to compete with larger or more established firms.

The poll, conducted by Talker Research and commissioned by ActiveCampaign, gathered input from 1,000 business owners, marketers, and sales professionals across the U.S. Respondents said they were using AI most commonly in marketing roles, with 52 percent applying it to creative planning, 48 percent using it during execution, and 44 percent using it to test or measure effectiveness.

Beyond marketing, AI was being used for customer service (31 percent), operations and people management (28 percent), and product-related tasks (25 percent).

Discomfort and Policy Gaps Still Limit Broader Adoption

Although almost half of respondents (48 percent) use AI tools at work on a daily basis, a significant portion remains cautious. Seventeen percent reported using AI less than once per month, and 9 percent said they do not use it at all in their official duties.

The hesitation appears rooted in several concerns. One in five feared the quality of AI output may fall short, while 21 percent of employees expressed worry about losing their jobs to automation. Other concerns involved potential damage to customer trust (19 percent) and negative feedback from peers or clients (17 percent).

In total, 57 percent of participants said they had either held negative views of AI themselves or heard critical opinions from others. Some said criticism came from social media (20 percent), while others cited direct feedback from clients (18 percent). One in five admitted they had been personally skeptical of AI.

Personal Use Often Comes First

The study found that many people began using AI tools outside of work. Among those who used AI in both personal and professional contexts, 66 percent started at home first. On average, it took users six weeks to understand how to use the tools in personal tasks, with a similar learning period applying to work-related use.

Clear Productivity Gains Reported

Respondents said AI helped them reclaim time and cut costs once they became familiar with the tools. In a typical week, AI use saved them 13 hours. Those who used AI daily reported 14 hours saved, while those using it infrequently saved around 6 hours.

Operational savings followed a similar pattern. On average, AI tools saved respondents $4,739 per month. For daily users, that figure rose to $5,038. For those who used AI less than once a month, average savings dropped to $2,237.

Some said AI integration made them more effective in managing workloads. Thirty-nine percent said it improved their task and resource efficiency. Another 29 percent said it increased their confidence in output quality, and 37 percent reported feeling more creative in how they approached marketing tasks.

Marketing, Creative, and Data Teams See Strongest Results

AI appears to deliver the most benefit in roles tied to strategy, content, and analysis. Eighty-two percent said it helped with marketing, 78 percent said it supported design and creative tasks, and 75 percent found it useful in analytics.

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by Web Desk via Digital Information World

OpenAI Adds Visual Styles to ChatGPT, Works Quietly on New AI Browser ‘Aura’

OpenAI is adding new tools to ChatGPT while moving forward with a browser project known internally as “Aura.” The latest updates reflect steady efforts to extend the platform’s features without drawing much attention to individual rollouts.

Image Styles Now Built Into ChatGPT

ChatGPT’s image generation tool now includes built-in visual styles. This lets users select a preferred look, like Retro Cartoon, Anime or Photo Shoot, without having to write detailed prompts. People can upload a photo, choose a preset, and get an image that closely matches that theme.

The feature is designed to save time and reduce guesswork. Before this change, users often had to write long, structured prompts to create art that looked the way they wanted. Even then, the results could vary. The new style picker removes some of that friction.

The option is available in the ChatGPT interface and can be used without any subscription or payment. For example, someone trying to create an anime version of a portrait can now do so in a few clicks. The image output typically reflects the selected theme in form and tone, whether it’s stylized, soft, or more detailed.

‘Aura’ Browser Appears in Testing

Alongside upgrades inside ChatGPT, OpenAI is also testing a browser codenamed “Aura”, as spotted by Tibor Blaho. Traces of the browser have turned up in the app’s code. Labels like “is Aura” and “Aura Sidebar” point to possible browser functions or early user interface elements.

OpenAI has not made a public announcement about the project. However, earlier reports described a Chromium-based browser that would carry AI-assisted features. This would place OpenAI in a similar space as Perplexity, which is already offering AI-driven web browsing.

The browser seems to be in development across desktop and mobile platforms. Since Chromium can run on multiple systems, OpenAI’s tool may be designed for broad compatibility from the start. A few speculative reports have even mentioned the company’s interest in buying an existing browser if legal shifts affect the browser market. No clear steps have been taken on that front.

Other Tools in the Pipeline

OpenAI is also building GPT-5, its next major model. This version is expected to combine lessons from earlier versions, though technical details are still under wraps.

Some internal experiments are focusing on computer agents that could support more complex tasks inside ChatGPT. These tools may help break down or guide user inputs step by step, though public access has not begun.

Steady Rollout, Broader Aims

By adding simple tools like style selectors and working on deeper features like browsers and agents, OpenAI appears to be widening ChatGPT’s role. The upgrades are arriving quietly, but each one brings a small shift in how users interact with the system.

For now, users can expect easier ways to create visuals and, eventually, more AI-driven support in how they browse, search, or work across the web.

Read next: Google-Led Study Finds Language Models Struggle With Confidence When Challenged

by Irfan Ahmad via Digital Information World

WeTransfer Adjusts Terms After User Pushback Over AI Clause

WeTransfer has revised a section of its terms of service following criticism from users who believed the company might use uploaded files to train artificial intelligence systems. The updated language, which goes into effect on August 8, led to confusion over whether customer data could be processed by machine learning tools.

The controversy began after users noted that the terms mentioned using content to improve machine learning models involved in content moderation. Some interpreted this as a signal that WeTransfer intended to use their files in AI development or share them with third parties, particularly AI firms. Reactions were especially strong among professionals in creative fields, including those who rely on the platform to transfer artwork, media projects, and other proprietary material.

In response, WeTransfer confirmed that no customer files are processed by machine learning systems or used in any AI-related workflows. The company also stated that no data is shared or sold to outside parties. It clarified that the clause had originally been introduced to cover the future possibility of employing AI to support automated moderation, but no such system had been implemented. The company later acknowledged that the language had caused unnecessary concern and decided to remove references to machine learning altogether.

• Also read: How to Read a Privacy Policy Without Getting Lost, and What to Look For Before You Tap "Accept"

The revised clause now grants WeTransfer a license to use customer content strictly for maintaining and improving the service, in line with its privacy and cookie policies. This change, the company explained, was intended to improve clarity and prevent misinterpretation.

The situation follows a similar incident involving Dropbox in late 2023, when that company also had to assure users it was not applying AI to their stored data. These repeated misunderstandings suggest persistent concern around how digital platforms handle personal files in the context of emerging AI practices.

Legal experts have warned that even subtle changes in service agreements can expose users to risks, especially when companies operate in data-intensive industries. Privacy advocates often point to the potential for platforms to repurpose stored content under broad or ambiguous clauses, particularly as interest in machine learning continues to grow.

The episode has underscored the need for online services to use precise, accessible language in their policies. For users deeply embedded in such platforms, sudden changes to data terms can leave them without practical alternatives, even if they disagree with the new conditions.

Notes: This post was edited/created using GenAI tools. Image: DIW-Aigen.

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by Irfan Ahmad via Digital Information World