AI dealmaking stays hot in 2026 as infrastructure wins favor

AI-related mergers and acquisitions remained one of the busiest pockets of the global deal market in 2026, even as broader corporate dealmaking stayed cautious. Buyers are paying up for infrastructure, power and proven AI deployment while showing more discipline toward software and model-only companies.

Why it matters: - AI acquisitions are shaping where capital flows in 2026, with infrastructure, power and data-center assets drawing premium valuations. - The shift affects technology, energy, financial services and healthcare, where buyers are using M&A to secure capabilities faster than they can build them. - The deal mix suggests AI is moving from experimentation to operational infrastructure, changing what buyers consider valuable.

What happened: - AI M&A emerged as one of the most active parts of the global deal market in 2026. - Covenant Health Advisors is tracking the trend as it advises healthcare organizations and other clients in a consolidating market. - Global M&A value reached about $1.6 trillion in the first half of 2026, up roughly 28% from the same period in 2025, according to Boston Consulting Group. - Megadeals valued at $10 billion or more nearly doubled year over year to 31 in the first six months of 2026 from 17 in the first half of 2025. - Broader sentiment indicators remained below long-term historical averages, showing that dealmaking is still concentrated in fewer sectors and structures.

The details: - Reported AI-related activity included a large utility acquisition tied to AI infrastructure and data-center power demand. - Direct acquisitions also targeted an AI company focused on cloud infrastructure for AI agents and a company specializing in data-center cooling technology. - Large financing arrangements were also used to expand AI infrastructure capacity outside traditional acquisition structures. - Infrastructure-layer assets such as computing capacity and power generation are commanding premium valuations because of visible, contracted demand. - Application-layer AI companies are seeing valuations come down as buyers apply stricter diligence. - Financial services has seen strong deal sentiment as banks and insurers buy AI capability and technology infrastructure they cannot build fast enough on their own. - Energy and utilities are also in focus because power availability has become a binding constraint on AI growth. - Healthcare dealmaking is strengthening as large pharmaceutical companies pursue bolt-on biotechnology acquisitions ahead of patent expirations. - Medical technology and AI-enabled diagnostics are becoming a second pillar of healthcare activity as care delivery moves outside traditional hospitals.

Between the lines: - Buyers are increasingly treating general-purpose AI models as commoditized. - More value is now going to proprietary data, embedded workflows and production-level deployment that can defend a product over time. - AI agents must show measurable revenue from paying customers, not just demos, to win favorable underwriting. - Private equity firms are building platforms that combine multiple vertical AI companies to create shared infrastructure and cross-selling opportunities. - That suggests the market is rewarding proof of durability and monetization, not just technical promise.

What's next: - Market observers expect a wave of large technology IPOs could reset risk appetite in the second half of 2026. - Until then, infrastructure and power-related assets are likely to keep commanding premium valuations. - Application-layer AI companies may continue to face valuation discipline. - Buyers with clear acquisition theses and rigorous diligence are positioned to gain the most advantage. - Covenant Health Advisors says it will continue advising healthcare providers, investors and healthcare technology companies on acquisitions, divestitures and strategic partnerships. - The firm says its work includes evaluating AI-enabled healthcare technology and diagnostics, plus buyer-side and sell-side M&A services.

The bottom line: - In 2026, AI dealmaking is not being driven by hype alone. - Buyers are paying for the parts of AI that solve hard infrastructure problems and show real revenue, while discounting weaker, easier-to-copy products.