The Artificial Intelligence (AI) industry continues to benefit from robust expansion and disruptive advancements: The State of Artificial Intelligence
The global AI market size is estimated at $269 billion in 2024 and is projected to grow at a CAGR of 36.6%, reaching $1.7 trillion by 2030 , with the United States being the largest market. M&A activity in the AI sector is experiencing significant growth, with transaction sizes ranging from smaller deals of $10 – $50 million to multi-billion-dollar acquisitions by leading industry players such as Microsoft, Nvidia, and Salesforce. Private M&A transactions under $100 million have surged in 2024, driven by demand for niche-specific AI solutions. Smaller AI startups in areas such as content generation, marketing tech, and fintech are attracting attention for their scalable models and ability to fill market gaps. From 2023 to 2024, the value of M&A deals rose by 8% to $49 billion. In 2024, AI-related M&A activity experienced a significant surge as companies aimed to capitalize on the expanding potential of generative AI and other advanced technologies. This growth highlights AI's growing significance in the investment landscape. Regulations on data privacy are tightening globally, and AI will face similar scrutiny as it disrupts industries. In response, AI companies will continue to adapt their business models to ensure the seamless integration of AI into society. This shift will require innovation and close collaboration between technology developers and regulatory frameworks to ensure the responsible deployment of AI.
Growing Market
AI-Driven M&A Boom
Increased Regulations
Source: Grand View Research, Reuters, Finro Financial Consulting, and Economic Times.
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