TLDR: Artificial intelligence is a primary catalyst behind a significant rebound in global dealmaking, pushing transaction values to $2.6 trillion in the first seven months of 2025. This surge, the highest since 2021, is driven by a corporate pursuit of growth and AI-related activities, despite a decrease in the number of deals.
Global dealmaking has experienced a robust resurgence, reaching an impressive $2.6 trillion in value during the first seven months of 2025. This figure marks the highest level for this period since the peak of the pandemic in 2021, signaling a significant shift in the corporate landscape. The primary driver behind this substantial rebound is the escalating activity in artificial intelligence (AI), which is effectively counteracting uncertainties stemming from U.S. tariffs.
While the sheer number of deals recorded in the first seven months of the year saw a 16% decrease compared to the same period in 2024, their cumulative value surged by 28%, according to data from Dealogic cited by Reuters. This indicates a clear trend towards larger, more impactful transactions. Notable examples of high-profile deals contributing to this total include Union Pacific railroad’s proposed $85 billion acquisition of rival Norfolk Southern and OpenAI’s substantial $40 billion funding round.
Despite this impressive rebound, the current $2.6 trillion total remains 27% lower than the $3.57 trillion in deals recorded during the first seven months of 2021. However, optimism prevails among financial experts. Dealmakers at JPMorgan Chase anticipate a continued wave of significant transactions as companies increasingly adapt to market volatility and pursue larger strategic targets.
Andre Veissid, EY Global Financial Services strategy and transactions leader, highlighted the underlying motivation for current dealmaking, stating, “What you’re seeing in terms of deal rationale for transactions right now is that it’s heavily growth-motivated, and it’s increasing. Whether it’s artificial intelligence, the change in the regulatory environment, we see our clients not wanting to be left behind in that race and that’s driving activity.” This sentiment underscores the urgency with which corporations are embracing AI to secure competitive advantages and foster expansion.
Further insights from PwC’s 2025 mid-year M&A industry trends report corroborate this trend, noting that while global M&A volumes declined by 9% in the first half of 2025 compared to 2024, deal values simultaneously increased by 15%. This reflects a distinct shift towards larger transactions, with deals exceeding $1 billion rising by 19% and those over $5 billion increasing by 16% year-over-year. The report also points to a sectoral shift, with the computer and electronics industry now generating more takeover bids in the U.S. and the United Kingdom, moving past the healthcare sector that led M&A activity post-pandemic.
Also Read:
- Generative AI Drives $79 Billion AI M&A Boom in Q2 2024
- AI Investment Soars in First Half of 2025, Outpacing Previous Year’s Total
Looking ahead, AI is expected to further catalyze dealmaking, particularly in areas related to data center usage. The global AI market itself is projected to reach $1 trillion by 2027, as reported by Bloomberg at the end of 2024. Furthermore, the largest technology companies are poised to invest over $300 billion in cloud and AI infrastructure in 2025 alone, reinforcing the profound and pervasive impact of artificial intelligence on the global economy and corporate strategy.
