Morgan Stanley: AI M&A Wave Shows "Full Spectrum" Development Trend

Odaily Planet Daily reported that Morgan Stanley's Global Head of Technology M&A, Wally Cheng, stated that as companies race to fill technological gaps in areas such as chips, electricity, networks, and infrastructure, merger and acquisition transactions in the field of artificial intelligence are covering various scales and expanding into multiple industries. Cheng said, "I believe that transaction activity will span the full spectrum, including both private and public companies." Although semiconductors that provide computing power support for AI have garnered attention due to their "technological miracle" attributes, the infrastructure surrounding these chips also holds significant value, including areas such as networking, storage, electricity, and real estate. Cheng stated that valuation in the AI industry remains "very difficult" because it requires balancing "imaginary unicorns and rainbow-like prospects" with actual execution risks. Tammy Kiely, Senior Managing Director of Technology Investment Banking at Evercore, expressed a similar view. She said that potential acquirers must assess the potential value they can create, while weighing the cost of missing out on opportunities. (Jin Shi)