New report: Q2 sees uptick in blockbuster M&A

By Camille Ricketts
VentureBeat
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After a long slump, the technology sector saw some “big-ticket” merger and acquisition activity in the second quarter (ended June 30), according to a new report out today from Ernst & Young.
More than $1 billion changed hands in seven deals during the period, but the data reflects a growing uncertainty in the market, making it unclear whether big transactions will continue at the same clip going forward.
For instance, while deals were big, there weren’t more of them in Q2. They remained pretty flat from the first quarter total of 628 despite rapid growth in the number of deals over the previous four quarters. That said, the total number of dollars jumped 32 percent to $30.8 billion, 154 percent higher than it was in the prior quarter. The data suggests that a bevy of much smaller, strategic deals took place as well.
Ernst & Young has identified several major trends governing M&A patterns in the tech sector, including the mobilization of business with the advent of applications and productivity tools, the blending of certain industries giving birth to new strategies, and the transition to a “smart” economy that prioritizes speed, security and intellectual property.