In 2021, the technology, media, and telecom (TMT) sector had a banner M&A year. Overall deal volume jumped 48 percent to 8,354 transactions from 5,630 in 2020. Overall deal value rocketed 83 percent to $941.1 billion from $514.0 billion.
There were 5,958 technology deals worth $697.0 billion, 2,038 media deals worth $189.7 billion, and 358 telecom deals worth $54.3 billion. (See the charts below for more data.)
Key trends that drove TMT deal making in 2021 included:
- Unprecedented liquidity from government stimulus programs and historically low interest rates
- COVID-triggered technology acceleration; the need for digitization, content, and cybersecurity fueled many deals
- A boom in SPAC deals in the first half of year (though this trend cooled in the second half)
- Growing interest in ESG as a sector and investment thesis
Looking ahead to 2022, deal appetite remains strong in the TMT sector. In a yearend KPMG executive survey, 66 percent of TMT senior executives said they expect deal activity to increase this year. The deal environment, however, could become tougher in the coming months, with stubbornly high inflation, the Federal Reserve’s plans to hike interest rates, and other headwinds.
TMT Deal Volume and Deal Value
Technology Deal Volume and Deal Value
Media Deal Volume and Deal Value
Telecom Deal Volume and Deal Value
Our Q4’21 report unpacks these trends and what’s ahead—with deep dives on three topics:
Download the full report to uncover what is happening in these dynamic sectors, how deals are being done today—and why.
