What's Happening
The global M&A boom, fueled by AI innovations, shows no signs of slowing as 2026 approaches. However, financial markets are noting a tightening of cash availability, which could impact future deal-making.
Market Impact
The continued M&A activity is likely to drive valuations higher in tech sectors, while the cash crunch may lead to increased borrowing costs and selective deal-making.
Broader Implications
This trend highlights the critical role of AI in shaping corporate strategies, potentially leading to regulatory scrutiny over large-scale acquisitions.