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Who will control the ecosystems that define the next wave of digital growth? That question is shaping TMT dealmaking in the second half of 2026. Artificial intelligence is no longer simply influencing M&A strategy – it is redefining how companies invest, partner and compete. As AI ecosystems expand, businesses are looking beyond traditional acquisitions to secure critical technologies, digital infrastructure and strategic capabilities. Partnerships, minority investments, joint ventures and long-term capacity agreements are becoming important alongside traditional M&A. Explore the latest global and Swiss TMT M&A trends.
By Lasse Stünitz, Partner, M&A TMT Leader, PwC Switzerland
Global TMT dealmaking got off to a strong start in 2026. Deal value increased by 48% year-on-year to US$472 billion in the first five months of the year, driven by a small number of large technology transactions. As companies compete for scale, capital is becoming more concentrated around AI platforms, digital infrastructure and businesses with defensible data and embedded workflows. At the same time, media companies are building content and gaming ecosystems, while telecommunications operators are investing in AI-ready network infrastructure.
Four themes stand out in the second half of 2026. First, AI is changing both what companies acquire and how they transact. Alongside traditional acquisitions, partnerships, minority investments, joint ventures and long-term capacity agreements are becoming important tools for securing strategic positions across the AI value chain. Second, software buyers are becoming more discerning, favouring AI-native and AI-resilient business models while placing greater scrutiny on AI-exposed platforms. Businesses with differentiated data, embedded workflows and clear AI monetisation opportunities continue to attract investor interest. Third, ecosystems are emerging as the new battleground. Across streaming, gaming, fibre networks and digital infrastructure, companies are pursuing scale, connectivity and customer access. Finally, private equity continues to play an important role, focusing on AI-ready platforms and businesses that enable AI adoption at scale. Hg’s proposed US$6.4 billion acquisition of OneStream illustrates how investors continue to back high-quality enterprise software platforms with strong AI potential, while the selective reopening of IPO markets is creating additional funding and exit opportunities for leading technology companies.
Together, these trends point to a TMT deal market that remains active but increasingly disciplined. Success will depend on identifying where ownership creates competitive advantage, where partnerships provide sufficient strategic access and how capital can be deployed most effectively in an AI-enabled, infrastructure-intensive economy.
Spotlight: AI is reshaping how deals are done
AI dealmaking has moved beyond buying AI capabilities. Businesses are now using a broader range of deal structures to secure strategic positions across the AI value chain.
Many of the most important AI assets have become too large, too capital-intensive or too strategically important to acquire outright. Instead, companies are turning to partnerships, minority investments, commercial agreements and long-term capacity commitments to gain access to critical technologies and infrastructure. The scale of investment underlines this trend. Alphabet, Amazon, Meta and Microsoft are expected to invest more than US$700 billion in AI infrastructure in 2026, encouraging companies to look beyond traditional M&A.
Recent AI infrastructure agreements show how companies are securing access to scarce computing capacity without taking ownership. The initial arrangement between SpaceX and Cursor illustrates how partnerships can create strategic flexibility and preserve future M&A options. That optionality has now been converted into an acquisition, with SpaceX announcing its purchase of Cursor following its IPO.
As AI continues to change the competitive landscape, companies are asking not only what to buy, but also where to partner, invest and secure long-term access.
M&A in 2026: technology megadeals drive TMT dealmaking
TMT M&A delivered a strong start to 2026, with total deal value rising 48% year-on-year to US$472 billion in the first five months of the year, despite transaction volumes declining by 9%. The increase was fuelled by a series of large technology transactions, reflecting continued investor confidence in AI and digital transformation. Technology accounted for 85% of all TMT transactions, 89% of total deal value and 15 of the 16 megadeals (transactions valued at more than US$5 billion). The rapid expansion of AI remained the dominant investment theme, with major funding rounds for companies such as OpenAI, Anthropic and xAI attracting significant capital.
The Americas continued to lead large-scale dealmaking, accounting for 12 of the 16 megadeals, while EMEA and Asia Pacific each recorded two. Global technology deal value increased by 67% to US$420 billion, driven by a 74% rise in the Americas despite lower transaction volumes. Deal value in EMEA rose 89%, while Asia Pacific was the only region to record growth in both deal value (+24%) and transaction volumes (+20%).
Activity in entertainment and media was more subdued, with transaction volumes falling 15% and deal value declining 60%, largely due to an exceptionally large megadeal (Warner Bros. Discovery transaction) completed in early 2025. Telecommunications performed more steadily, with deal value increasing 25% to US$38 billion. Stronger activity in EMEA and Asia Pacific more than offset a 22% decline in the Americas, where the prior-year comparison was inflated by two megadeals.
Global M&A trends in tech, media, and telecoms
M&A developments in the Swiss TMT sector
While M&A activity in the Swiss TMT industry defied the global slowdown in early 2023, recording record-breaking transaction volumes, deal activity subsequently declined from Q2 2023 through Q2 2024. A rebound in Q3 2024 and a more dynamic start to 2025 demonstrated that investor demand had not disappeared, but the market did not enter a linear recovery. Instead, 2025 showed a distinct stop-and-go pattern, with a strong start to the year, a softer Q2, a recovery in Q3 and a normalisation towards year-end. This pattern continued in the first half of 2026: the year started solidly with 35 completed transactions in Q1 2026, before slowing to an extrapolated 24 transactions in Q2. As of mid-2026, total deal volume stood at 59, broadly in line with the first half of 2025 but significantly below the peaks seen in 2023.
The dynamics that impacted the previous slowdown, including global uncertainty, higher financing costs and valuation gaps, remained present in 2026. Dealmakers continued to take a cautious approach, with activity concentrated in periods where valuation expectations, financing conditions and execution certainty aligned. In the trailing 12-month period ending Q2 2026, the Swiss market recorded 125 completed transactions involving TMT target companies, indicating continued resilience in selected subsectors but not yet a broad-based recovery.
Note: Data as of 31 May 2026; Q2’26 extrapolated from April and May deals.
Technology remains the dominant sector, while media and entertainment and telecommunications continue to contribute lower and more episodic deal volumes. In the first half of 2026, technology assets accounted for close to 90% of all Swiss TMT transactions, underlining the continued importance of the segment in Swiss TMT dealmaking. As in prior periods, software-led activity continued to form the backbone of Swiss TMT M&A, supported by continued investor interest in areas such as cloud solutions, data and analytics, collaboration tools, artificial intelligence and cybersecurity. With valuation levels still below the peak levels observed in recent years across TMT subsectors, high-quality technology assets remain attractive M&A candidates, particularly where resilient growth, recurring revenues and clear strategic fit enable buyers to underwrite transactions with greater conviction.
Note: Data as of 31 May 2026.
With strong underlying fundamentals and continuing the trend of previous years, the Swiss TMT M&A space once again attracted significant interest from private equity and financial investors. In H1 2026, private equity buyers accounted for around half of all Swiss TMT transactions. While this represents a moderation compared with the very elevated sponsor activity observed in prior periods, it also brings private equity participation in Swiss TMT closer to the typical level observed in other Swiss industries, where private equity generally accounts for close to, but still below, 50% of transactions. This does not point to a withdrawal from the sector, but rather to a more disciplined underwriting environment. The increase in sponsor participation from Q1 to Q2, despite lower total deal volumes, underlines that financial investors continue to pursue attractive opportunities when financing conditions, valuation expectations and value creation plans are sufficiently aligned. Given the still significant amount of available dry powder, we expect private equity to remain an active force in Swiss TMT dealmaking throughout 2026.
Note: Data as of 31 May 2026.
As in prior periods, non-Swiss buyers continue to play a key role in driving M&A activity in the Swiss TMT sector. In the first half of 2026, foreign buyers accounted for about two-thirds of all TMT transactions, maintaining their dominant position in the market. This continues to highlight the international appeal of Swiss TMT assets and the generally more global perspective of the sector compared with more domestically focused industries. The continued high share of cross-border transactions also underlines that many Swiss TMT acquisitions are driven by international portfolio logic and strategic capability agendas rather than purely domestic market cycles.
Note: Data as of 31 May 2026.
Similarly, non-TMT buyers continue to drive demand for transactions in the TMT sector, with cross-sector buyers accounting for around 60% of all TMT-related transactions in Switzerland in the first half of 2026. This remains a significant share, although the buyer mix was more balanced than in prior mid-year periods, with industry-native TMT buyers becoming more visible, particularly in Q1. This suggests that traditional consolidation and sector-specific strategic agendas are returning alongside the structurally strong cross-sector demand for digital capabilities. With AI adoption and digitalisation becoming increasingly critical across all sectors, we expect non-TMT buyers to continue targeting TMT assets to strengthen their strategic positioning, while improving market stability may bring a broader mix of buyers back into play in the second half of the year.
After a solid start to 2026, Swiss TMT deal activity softened in the second quarter, reflecting continued valuation discipline and selective execution. Still, the sector remains supported by strong technology fundamentals, with software, cloud, cybersecurity and AI continuing to drive investor interest. For the second half of the year, I expect a constructive but disciplined deal environment, supported by improving valuation alignment, significant available dry powder and continued demand for digital capabilities.
Lasse Stünitz,Partner, M&A TMT Leader, PwC SwitzerlandM&A outlook for tech, media and telecoms for the second half of 2026
Looking ahead to the second half of 2026, we expect Swiss TMT M&A activity to remain selective but constructive. The first half of the year confirmed that the market has stabilised, with 59 completed transactions broadly in line with H1 2025. However, the softer second quarter also confirmed that dealmaking remains sensitive to valuation alignment, financing conditions and execution certainty.
Activity is expected to remain concentrated in technology, which accounted for close to 90% of Swiss TMT transactions in H1 2026. Software and technology-enabled services should continue to attract the strongest interest, particularly in cloud solutions, data and analytics, cybersecurity, collaboration tools and AI. Media and Entertainment and telecommunications are likely to remain more episodic and driven by asset-specific catalysts.
Private equity should remain active, supported by significant dry powder and continued demand for scalable, recurring revenue models, although the moderation of sponsor participation to around half of transactions points to a more disciplined approach. Foreign buyers and cross-sector acquirers are also expected to continue supporting deal flow, reflecting the international appeal of Swiss TMT assets and the strategic importance of digital capabilities across industries. Overall, we expect a constructive second half of 2026, with momentum strongest in high-quality technology assets and situations where buyers can underwrite growth and value creation with confidence.
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Contact
Lasse Stünitz