Free Newsletters for the Channel
Register for Your Free Newsletter Now
Coronavirus has changed tech acquisitions, but it hasn't stopped them.
July 17, 2020
ConnectWise’s Arlin Sorensen
Although an economic recession has spurred layoffs across many companies, other businesses have proceeded with M&A activity.
But for many of those companies making transactions, the methodology has shifted significantly in recent months, according to ConnectWise’s Arlin Sorensen. Sorensen said buyers had been putting a significant amount of up-front cash into their deals; however, after statewide lockdowns went into effect, purchasing agreements made more stipulations about performance.
“Nobody really knows what’s going to happen in the second half of the year and into next year,” Sorensen said in a podcast interview. “So there’s not as much willingness to put all that cash on the line upfront. They want some shared risk.”
The M&A activity varied. For example, Dell is reportedly considering a sale of its VMware stake and Tech Data has officially come under private equity ownership. Meanwhile, on the buyer side, Microsoft bought a robotic process automation capability to improve its workflow software.
Read the 11 mini-stories in our gallery below that summarize the most channel-relevant technology acquisitions of May and June 2020.
Then, you should check out our previous M&A recap, which covered March and April.
Read more about:Agents
Senior News Editor, Channel Futures
James Anderson is a news editor for Channel Futures. He interned with Informa while working toward his degree in journalism from Arizona State University, then joined the company after graduating. He writes about SD-WAN, telecom and cablecos, technology services distributors and carriers. He has served as a moderator for multiple panels at Channel Partners events.
You May Also Like
Channel People on the Move: AT&T, C1, Mitel, TD Synnex, MoreMar 1, 2024
Viirtue, MSP Partners Seek Larger Piece of IT PieFeb 29, 2024
New Cisco OT Route to Market Opens New Partner SetFeb 29, 2024
Broadcom-VMware Saga Update: Nutanix Wins, Carbon Black Sale, Hock Tan PayFeb 29, 2024