Gen Z and the future of AI

Australian students are more excited about AI than their global peers, but fear its impact on their careers and relationships.

● New global research of 7,000 international students demonstrates Gen Z see AI as crucial in improving the work/life balance and helping free up time to do the things they love – but it comes at potential cost

● 48% of Australian students admit they rely on AI to help with their studies (48% globally) – but 69% also worry it will cost them their jobs

● Major advances in healthcare and counselling services are seen as compelling advantages of AI-powered Australian culture

● 52% believe the new technology will create dramatic social decline and reduce human intelligence - with friendships and relationships substituted by AI robots

A global study* of more than 7,000 students – including 91% Gen Z - has found students in Australia are embracing AI more than in any other country, seeing it not only as a great study aid, but a driver of innovation and growth.

Australian students are also the most excited about AI’s possibilities (65%) – more so than their peers in other countries, including Portugal and Italy (62%) and the US (39%), suggesting they’re particularly tech savvy.

But all of this comes at a potential cost. Half (49%) of Australian students are concerned about a loss of human-to-human interaction and intelligence (52%). This contrasts with 59% and 59% globally.

The research can be viewed in groundbreaking research by Yugo, the first global student housing brand and operator, which has five student properties across Victoria, South Australia and Western Australia.

Each year the brand surveys its students about the issues impacting their lives so they can provide them holistic living programs and training across sustainability, professional development and social inclusion.

Work/ Life Balance and wellbeing

Of the students surveyed, 69% see AI as a means of improving the work/ life balance – higher than Italy (64%) and Portugal (62%).

Gen Z believes the new technology is set to boost healthcare, (so say 47% of Australian students) and create greater access to counselling services (28%), effectively democratising access to mental health services.

Meanwhile one in five Australian students (18%) use fitness tracking apps and one in seven (15%) rely on AI to monitor stress and anxiety.

But it’s not all plain sailing. Half (49%) of Australian students surveyed are concerned about a loss of human-to-human interaction and 52% are worried it will lead to diminished intelligence.

One fifth (22%) of Australian students fear that genuine friendships will be replaced by AI companions, while one in seven (15%) fear that romantic relationships will also be substituted by AI powered robots.

AI study aids and the job market

Yugo’s research illustrates that AI is a vital tool for helping students to get their work done, though – contrary to recent Australian media reports - there is no suggestion that the technology is being misappropriated.

Grammar checking tools are the most popular applications for Australian students, with 48% using AI to support their grammar and proofreading and 38% using it to inspire ideas.

Male students are more likely to use AI for data analysis (38%) and design tasks (13%) compared to female students (23% and 10%, respectively) suggesting they’re more adventurous.

In contrast, female students lead in structuring essays (35% vs. 36%) and planning study schedules (12% vs. 14%), reflecting more conscientious character traits.

AI is also primarily used for academic tasks, whereas career tasks like drafting CVs or cover letters are less common (15% of responses on average) but show notable uptake in Australia (27%).

However, one chief concern for Australian and international students (69% v 76% ) is the prospect of AI impacting their job opportunities - ironic given their reliance on the technology for drafting CVs.

Other concerns for Australian graduates include AI technology being negatively harnessed for political purposes (38%) and the spread of fake news (38%).

Commenting on the research, Tim Klitscher, SVP Operations APAC said: “This year’s global Student Insights report is packed with compelling feedback from more than 7,000 students globally, which helps Yugo tailor its spaces and holistic living programs to better suit their needs.

“The research shows Australian students are leading the way globally in their enthusiasm and adoption of AI. They think it will help boost productivity, education, healthcare and counselling services. These are obvious wins.

“However, the data also indicates that Gen Z worries about AI replacing their jobs, friendships – and even romantic relationships, such is the sophistication of the new technology. This paradox creates anxiety for younger generations.

“Educators and student housing providers need to be aware of these findings, so they can help support students as they increasingly factor AI into their studies and adapt to its capabilities.”

In response to the findings, Yugo is launching a new training program to help build students’ AI skills and give them the confidence to excel with the new technology.

These online classes will form part of the YuPro pillar of Yugo’s Live Your Best Life (LYBL) program, which offers internships, graduate programs, and resources to help prepare students for their future careers.

To view the global snapshot, click here.

About Yugo

Yugo is the first global student housing brand and operator redefining student living on a global scale and bringing next-level experiences to student life and beyond. We’re not just about housing — we’re about creating vibrant, sustainable, and supportive spaces where students can thrive. We are for students and powered by students, with a focus on supporting Gen Z and developing our offering for Gen Alpha. Our Live Your Best Life (LYBL) program is the ultimate game-changer, designed from insights gathered from thousands of students worldwide. Based on three pillars - sustainability, professional support and personal development - students are empowered to live their best lives with confidence, purpose and impact. Yugo forms part of The Dot Group and includes over 220 student living spaces in 14 countries. We’ve got nearly 100,000 students calling Yugo home in more than 100 of the world’s top educational cities. In 2025, Yugo became the exclusive student housing operating partner of Visa Cash App Racing Bulls (“VCARB”) Formula One™ Team, providing students unparalleled access to unique opportunities and experiences worldwide.