2026 Perspectives In Private Equity: AI & Technology

This article is part of the "Perspectives in Private Equity" series.

While technology remained a popular target industry for private equity investors in 2025, nervousness around valuations meant dealflow in certain parts of the market was slower than expected. Tech M&A rebounded globally, with deal value up more than 75% year-on-year to nearly $480 billion by mid-December. Almost half of the larger deals recorded by Bain & Company involved AI-native companies or cited AI benefits.

European transactional activity was more subdued than that seen in the U.S., where large commercial collaborations around AI hit the headlines. Apple and Google announced a multi-year deal in January 2026, for example, that will see Apple use Google's Gemini AI models to power some of its key technology.