Mark Cuban said there's a compelling reason for new grads to join small businesses instead of big companies

Mark Cuban has a message for recent graduates: consider focusing your job search on small and medium-sized enterprises (SMEs). In a post on X, the renowned investor and former 'Shark Tank' personality highlighted that these smaller companies are often where new graduates can contribute the most significant impact. Cuban emphasized that fresh graduates can bring valuable insights to SMEs by demonstrating how to effectively implement AI agents, enhancing processes that these businesses might not have the resources to optimize manually. He stated, "Big companies don't need new grads for this. Entrepreneurial firms will appreciate the value you can provide." He pointed out that AI agents—virtual assistants capable of completing tasks independently—are where graduates can deliver immediate benefits that businesses may not even realize they require. This year has seen a surge in the adoption of AI agents, with a study from Jellyfish showing that usage among over 400 companies rose from 50% in December 2024 to 82% by May. Nvidia's CEO Jensen Huang remarked in January on the onset of the 'age of agentic AI,' while OpenAI's CEO Sam Altman has compared these AI agents to junior staff members. Moreover, Morgan Stanley predicts that AI shopping agents could contribute an astonishing $115 billion to the U.S. e-commerce sector by 2030. Cuban's insights come at a time when new graduates are facing a tough job market, with fewer opportunities available. Handshake, a California-based employment platform, reported a 15% decrease in job postings compared to last year, while applications per posting surged by 30%. Interestingly, more than one-third of full-time job applications submitted by new graduates were directed toward companies with 250 employees or fewer. To attract Gen Z talent, small businesses are also leveraging flexible work arrangements, including the option to work from home. This strategic move aims to compete with larger corporations for the best candidates, according to workplace researchers who spoke to Business Insider in July.