Exciting times are ahead in the worlds of gen AI and M&A! Here are some thoughts and key takeaways:
๐ช๐ต๐ฎ๐ ๐ถ๐ ๐๐ฒ๐ป ๐๐ ๐๐ผ๐ผ๐ฑ ๐๐? ๐ช๐ต๐ ๐๐ผ ๐ช๐ฒ ๐๐ฎ๐ฟ๐ฒ?
- Data Ingestion and Summarization: Generative AI excels at ingesting and summarizing large quantities of data. It can automate labor-intensive, simple processes
- Benefits: Generative AI helps companies gain better insights, increase productivity, and accelerate execution
- Market Growth: In 2023, AI companies raised nearly $50 billion. These investments are expected to grow 300% to $200 billion by 2025
๐๐ผ๐ ๐๐ผ๐ฒ๐ ๐๐ฒ๐ป ๐๐ ๐๐ฒ๐น๐ฝ ๐๐ถ๐๐ต ๐ &๐?
- Strategy and Valuation: Gen AI’s pattern recognition capabilities allow it to process vast amounts of data to evaluate markets, uncover hidden targets, and assess investment theses
- Due Diligence: AI aids in preparing interview guides, pulling research, and comparing financial reports
- Execution: AI supports creating planning deliverables, generating Day 1 communications, and maintaining team alignments with clean meeting notes
๐๐ถ๐ด ๐ฃ๐ถ๐ฐ๐๐๐ฟ๐ฒ
In a world of “unknown unknowns,” recasting M&A strategies through an AI lens can boost revenues and reduce costs
โ๐ก๐ผ ๐ฅ๐ฒ๐ด๐ฟ๐ฒ๐” ๐๐ฒ๐ฐ๐ถ๐๐ถ๐ผ๐ป๐ ๐ณ๐ผ๐ฟ ๐๐ฒ๐ฎ๐ฑ๐ฒ๐ฟ๐
- Engage with Experts: Stay informed about market trends and the potentials of gen AI
- Embrace Evolution: Recognize that business practices will evolve. Identify areas in the enterprise value chain where AI can be leveraged to shift power dynamics.
- Hire AI Experts: Develop and test use cases to explore AI’s potential
Everything above are my own thoughts and opinions based on my interpretation of Deloitteโs report on AI and M&A. I recommend going through it yourself!