Global M&A Surges to $2.6 Trillion as Artificial Intelligence, Cybersecurity, and Strategic Consolidation Reshape Corporate Deal Landscape in 2025
Global mergers and acquisitions have reached $2.6 trillion in the first seven months of 2025, driven by strategic consolidation, artificial intelligence, and cybersecurity investments, according to the latest analysis by ELD Asset Management. Transaction volumes dropped 16% year-to-date compared to 2024, yet total deal value climbed 28%, signalling an increasingly sophisticated market prioritising quality and scale over volume.
ELD Asset Management highlights the United States as the dominant force, accounting for more than half of global activity. Landmark transactions, such as Union Pacific Corp’s proposed $85 billion acquisition of Norfolk Southern and OpenAI’s recent $40 billion funding round led by Softbank Group, underscore the trend towards significant transformative investments. However, current market activity remains approximately $1 trillion (27%) below the peak levels recorded in August 2021.
Jason Harrison, Senior Vice President at ELD Asset Management, emphasised the strategic nature of this shift, noting, “Companies increasingly see mergers and acquisitions as essential strategies for acquiring critical technologies. Acquiring AI capabilities has become a necessity to ensure long-term competitive advantage.”
The Asia Pacific region notably outperformed, doubling its dealmaking activity compared to the equivalent period in 2024 and surpassing traditional leaders in the EMEA region. Robust economic growth in Kuwait, Qatar, and the UAE is particularly contributing to the attractive investment environment, offering substantial opportunities for strategic mergers and acquisitions.
Artificial intelligence remains a primary catalyst behind 2025’s significant M&A activities. Notable transactions include Synopsys’s $35 billion acquisition of Ansys, Cisco’s $28 billion purchase of Splunk, and Hewlett Packard’s $14 billion takeover of Juniper Networks. Harrison pointed out that these deals highlight a wider corporate recognition of AI as essential for business sustainability and growth.
The cybersecurity sector has also witnessed substantial growth, bolstered by private equity firms deploying considerable capital into the market. Prominent deals include Google’s $32 billion acquisition of Wiz and Palo Alto Networks’ $25 billion acquisition of CyberArk, indicative of private equity’s active return, with firms currently managing nearly $2 trillion of investment capital.
Regional market dynamics are shifting, creating distinct investment opportunities. North America continues to lead with substantial strategic transactions despite a reduction in overall deal numbers, while Asia Pacific, particularly China and Japan, demonstrates exceptional growth. Harrison noted, “We are proactively positioning client portfolios to leverage these evolving opportunities, particularly in technology and infrastructure sectors.”
Investor confidence remains robust due to stable macroeconomic conditions and clearer regulatory frameworks, notably in the United States, fostering a supportive environment for sustained M&A momentum through the remainder of 2025.
“Our ongoing recommendation to clients is to strategically align their portfolios with these transformative market dynamics to achieve enduring value,” Harrison concluded.
About ELD Asset Management
Founded in 2017, Singapore-based ELD Asset Management Pte. Ltd. provides strategic investment advice grounded in thorough market analysis and global economic insights, enabling clients to proactively identify opportunities.
Further insights available at: https://www.eldglobal.com/news/
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