Artificial Intelligence Annual Report 2025

Q3 2024 saw a 49% increase in M&A deal value compared to Q4 2023, driven by mid-sized transactions in key sectors like Healthtech, FinTech, and industrial automation. This upswing reflects renewed market confidence, with strategic acquisitions shaping a more diverse industry landscape. Established companies sought synergies, while startups capitalized on M&A to scale and penetrate new markets, further accelerating the momentum. Major industry moves further highlight this trend. NVIDIA’s $250 million acquisition of OctoAI emphasizes its strategic growth, while Black Sesame Technologies’ $2 billion IPO showcases the increasing focus on AI hardware. Google’s $2.7 billion deal for Character. AI’s LLM technology underscores the value placed on advanced AI solutions, marking a shift in how tech giants are securing cutting-edge capabilities in early years of the business. These developments highlight the AI sector’s commitment to innovation & large- scale funding. Investors are prioritizing opportunities with long-term potential, signaling a more strategic approach to AI growth in 2024. Strategic Refinement: Optimizing AI M&A Rounds

Date Announced

Amount (Million)

Company

Buyer

Nov-2024

$82

Oct-2024

$250

Sep-2024

$80

Sep-2024

Sonio

$93

Sep-2024

$97

Jul-2024

$150

May-2024

$65

Source: Pitchbook.

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