Building, backing, and buying AI in 2026

Though the tech industry is on track to spend nearly $600 billion on AI infrastructure in 2026, M&A is hardly part of that equation. The Big Five of Google, Meta, Microsoft, Amazon, and Apple, dropped from thirty-three acquisitions in 2017 to only twelve in 2026 YTD, showing a growing preference for back and build strategies.

Why are the industry’s most influential, cash-rich companies not buying startups and what does it mean for AI M&A? Find out with insights from PitchBook’s Senior VC Analyst Kaidi Gao who looks at key players in this trend and their motives.