Internet of Things, Cloud Drive Tech Deals in Q1
Overall, IoT and health care IT were the biggest deal-value drivers of 1Q15, followed by cyber security, financial and payment technologies.Security and payment, cyber security and Internet of Things (IoT) technologies saw big growth in the mergers and acquisition market in the first quarter of 2015, according to a report from financial analyst firm EY. The aggregate value of disclosed deals in the quarter hit $77.1 billion, higher than any quarter since the height of the dot-com bubble in 2000, and up 16 percent year-over-year and 72 percent sequentially. Overall, IoT and health care IT drove the biggest value deals of 1Q15, followed by cyber security, financial and payment technologies, smart mobility and the cloud. "IoT is about enabling all industries’ everyday products with information technology--sensors, processors, wireless network connectivity and security to protect it all," Jeff Liu, global sector head of technology, transaction advisory services, for EY, told eWEEK. "The size of that opportunity is game-changing. That’s why technology companies are seeking appropriate technologies to support or create IoT business strategies, and doing so through M&A, as appropriate, to accelerate their development."
Liu noted it’s also why so many non-technology companies are investing in M&A to acquire IoT-related technologies--to drive technology-enabled innovation or protect their competitive position.