Xero expands JAX AI agent to boost automation for small firms
Xero has announced an expansion of its artificial intelligence-driven financial superagent, JAX, aiming to enhance automation and actionable insights for small businesses and accountants.
The updated JAX is built upon Xero's agentic platform and is designed to streamline business operations by automating routine tasks and workflows, learning business-specific processes, and delivering insights to aid decision-making.
Diya Jolly, Chief Product and Technology Officer at Xero, described the latest iteration as foundational for the future of accounting.
"This evolution of Xero's platform is a foundation for the next era of small business accounting," said Diya Jolly, Chief Product and Technology Officer at Xero. "JAX doesn't just support today's workflows; it continuously learns, adapts and acts to meet the evolving needs of business owners. By handling repetitive tasks and empowering our customers to focus on growth, relationships, and high value decisions, we're seeing what's possible for the future of work in the accounting industry, and we're excited to keep expanding our AI offering."
Unified experience
Xero aims for JAX to unify the user experience by acting through one intelligent interface. The system is designed to learn and automatically adapt to the operational rhythms of each business, replacing the need for multiple disconnected tools.
One of the core features is the automation of routine tasks, such as bank reconciliations and data entry. JAX will allow users to complete these processes with reduced manual intervention, helping customers save time and maintain compliance with accounting standards.
Insights and decision-making
JAX will move away from static reporting by combining insights from across Xero's platform and its connected applications. The financial superagent leverages deep research capabilities, including collaboration with OpenAI, to synthesise information such as tax regulations and market trends from across the web.
The aim is to deliver proactive recommendations and unified business intelligence, supporting customers in exploring their financial data and making more informed choices.
Security and accuracy
Xero emphasises that JAX is built with security and privacy in mind, supported by the company's experience in accounting. The JAX Assure control system provides additional safeguards, aiming to reduce inaccuracies and minimise false outputs - often called "hallucinations" - that can occur with AI systems reliant solely on large language models.
According to Xero, JAX also proactively identifies and highlights issues in financial data, supporting data accuracy and acting as a round-the-clock assistant to businesses and accountants.
Industry collaboration
The collaboration with OpenAI is focused on enhancing JAX's deep web research feature. Giancarlo "GC" Lionetti, Chief Commercial Officer at OpenAI, commented on the partnership:
"With AI tools like JAX, small businesses can save time, work more efficiently, and grow," said Giancarlo "GC" Lionetti, Chief Commercial Officer at OpenAI. "Collaborating with Xero is a great example of how we're bringing the practical benefits of intelligence directly into the platforms businesses already rely on."
This partnership is intended to integrate intelligence into existing business workflows, supplying financial data from diverse online sources directly into Xero's platform.
Adoption and demand
Xero's user base has shown significant interest in AI-driven accounting tools. Since March, 73% of customers have used AI features within the platform. Additionally, a 2025 Xero survey of 300 US small businesses reported that 51% of respondents planning to increase their AI investment in the coming year consider such technology absolutely essential or very important to remain competitive.
Xero states that demand for AI-enabled accounting solutions is expected to increase as more small businesses seek gains in efficiency, automation, and insight.