2024 M&A Year in Review - Flipbook - Page 95
M&A Year in Review | 2024
Technology
Despite a start to the year hindered by rapid changes
in the U.S. policy landscape and overall market
uncertainty, the outlook for technology M&A in 2025
remains strong, driven by rapid advancements in AI,
cloud computing, and cybersecurity.
Companies are anticipated to pursue acquisitions to
accelerate innovation, address talent gaps, and
capture increased market share, while private equity
firms, armed with abundant levels of dry powder,
will target high-growth startups in areas such as
FinTech, enterprise software, and semiconductors.
Software deals are likely to dominate the M&A
landscape, as firms prioritize recurring revenue
models and scalable cloud-based solutions.
Cross-border M&A is expected to increase as
companies seek global expansion, while non-tech
companies will increasingly acquire tech assets to
enhance digital capabilities and boost productivity,
particularly through AI integration. At the same
time, more firms will look to streamline operations
by divesting non-core assets and sharpening their
strategic focus.
While regulatory scrutiny in the United States and
European Union may slow megadeals, and
geopolitical tensions, tariffs, and interest rate
fluctuations will give rise to swelling uncertainty, if
U.S. policy shifts stabilize then the sector’s drive for
innovation and efficiency, combined with a favorable
investment environment, should keep technology
M&A at the forefront of corporate growth strategies.
With this landscape, both strategic buyers and
private equity players are expected to remain highly
active in technology M&A.
See our AI Hub for more insights.
Software deals are
likely to dominate
the M&A landscape,
as 昀椀rms prioritize
recurring revenue
models and scalable
cloud-based solutions.”
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