Accessibility Statement Skip Navigation
  • Why PRWeb
  • How It Works
  • Who Uses It
  • Pricing
  • Login
  • GDPR
  • Create a Free Account
Return to PRWeb homepage
  • News
  • Resources
  • Contact
When typing in this field, a list of search results will appear and be automatically updated as you type.

Searching for your content...

No results found. Please change your search terms and try again.
  • News in Focus
      • Browse News Releases

      • All News Releases
      • Multimedia Gallery

      • All Multimedia
      • All Photos
      • All Videos
  • Business & Money
      • Auto & Transportation

      • Aerospace, Defense
      • Air Freight
      • Airlines & Aviation
      • Automotive
      • Maritime & Shipbuilding
      • Railroads and Intermodal Transportation
      • Supply Chain/Logistics
      • Transportation, Trucking & Railroad
      • Travel
      • Trucking and Road Transportation
      • View All Auto & Transportation

      • Business Technology

      • Blockchain
      • Broadcast Tech
      • Computer & Electronics
      • Computer Hardware
      • Computer Software
      • Data Analytics
      • Electronic Commerce
      • Electronic Components
      • Electronic Design Automation
      • Financial Technology
      • High Tech Security
      • Internet Technology
      • Nanotechnology
      • Networks
      • Peripherals
      • Semiconductors
      • View All Business Technology

      • Entertain­ment & Media

      • Advertising
      • Art
      • Books
      • Entertainment
      • Film and Motion Picture
      • Magazines
      • Music
      • Publishing & Information Services
      • Radio & Podcast
      • Television
      • View All Entertain­ment & Media

      • Financial Services & Investing

      • Accounting News & Issues
      • Acquisitions, Mergers and Takeovers
      • Banking & Financial Services
      • Bankruptcy
      • Bond & Stock Ratings
      • Conference Call Announcements
      • Contracts
      • Cryptocurrency
      • Dividends
      • Earnings
      • Earnings Forecasts & Projections
      • Financing Agreements
      • Insurance
      • Investments Opinions
      • Joint Ventures
      • Mutual Funds
      • Private Placement
      • Real Estate
      • Restructuring & Recapitalization
      • Sales Reports
      • Shareholder Activism
      • Shareholder Meetings
      • Stock Offering
      • Stock Split
      • Venture Capital
      • View All Financial Services & Investing

      • General Business

      • Awards
      • Commercial Real Estate
      • Corporate Expansion
      • Earnings
      • Environmental, Social and Governance (ESG)
      • Human Resource & Workforce Management
      • Licensing
      • New Products & Services
      • Obituaries
      • Outsourcing Businesses
      • Overseas Real Estate (non-US)
      • Personnel Announcements
      • Real Estate Transactions
      • Residential Real Estate
      • Small Business Services
      • Socially Responsible Investing
      • Surveys, Polls and Research
      • Trade Show News
      • View All General Business

  • Science & Tech
      • Consumer Technology

      • Artificial Intelligence
      • Blockchain
      • Cloud Computing/Internet of Things
      • Computer Electronics
      • Computer Hardware
      • Computer Software
      • Consumer Electronics
      • Cryptocurrency
      • Data Analytics
      • Electronic Commerce
      • Electronic Gaming
      • Financial Technology
      • Mobile Entertainment
      • Multimedia & Internet
      • Peripherals
      • Social Media
      • STEM (Science, Tech, Engineering, Math)
      • Supply Chain/Logistics
      • Wireless Communications
      • View All Consumer Technology

      • Energy & Natural Resources

      • Alternative Energies
      • Chemical
      • Electrical Utilities
      • Gas
      • General Manufacturing
      • Mining
      • Mining & Metals
      • Oil & Energy
      • Oil and Gas Discoveries
      • Utilities
      • Water Utilities
      • View All Energy & Natural Resources

      • Environ­ment

      • Conservation & Recycling
      • Environmental Issues
      • Environmental Policy
      • Environmental Products & Services
      • Green Technology
      • Natural Disasters
      • View All Environ­ment

      • Heavy Industry & Manufacturing

      • Aerospace & Defense
      • Agriculture
      • Chemical
      • Construction & Building
      • General Manufacturing
      • HVAC (Heating, Ventilation and Air-Conditioning)
      • Machinery
      • Machine Tools, Metalworking and Metallurgy
      • Mining
      • Mining & Metals
      • Paper, Forest Products & Containers
      • Precious Metals
      • Textiles
      • Tobacco
      • View All Heavy Industry & Manufacturing

      • Telecomm­unications

      • Carriers and Services
      • Mobile Entertainment
      • Networks
      • Peripherals
      • Telecommunications Equipment
      • Telecommunications Industry
      • VoIP (Voice over Internet Protocol)
      • Wireless Communications
      • View All Telecomm­unications

  • Lifestyle & Health
      • Consumer Products & Retail

      • Animals & Pets
      • Beers, Wines and Spirits
      • Beverages
      • Bridal Services
      • Cannabis
      • Cosmetics and Personal Care
      • Fashion
      • Food & Beverages
      • Furniture and Furnishings
      • Home Improvement
      • Household, Consumer & Cosmetics
      • Household Products
      • Jewelry
      • Non-Alcoholic Beverages
      • Office Products
      • Organic Food
      • Product Recalls
      • Restaurants
      • Retail
      • Supermarkets
      • Toys
      • View All Consumer Products & Retail

      • Entertain­ment & Media

      • Advertising
      • Art
      • Books
      • Entertainment
      • Film and Motion Picture
      • Magazines
      • Music
      • Publishing & Information Services
      • Radio & Podcast
      • Television
      • View All Entertain­ment & Media

      • Health

      • Biometrics
      • Biotechnology
      • Clinical Trials & Medical Discoveries
      • Dentistry
      • FDA Approval
      • Fitness/Wellness
      • Health Care & Hospitals
      • Health Insurance
      • Infection Control
      • International Medical Approval
      • Medical Equipment
      • Medical Pharmaceuticals
      • Mental Health
      • Pharmaceuticals
      • Supplementary Medicine
      • View All Health

      • Sports

      • General Sports
      • Outdoors, Camping & Hiking
      • Sporting Events
      • Sports Equipment & Accessories
      • View All Sports

      • Travel

      • Amusement Parks and Tourist Attractions
      • Gambling & Casinos
      • Hotels and Resorts
      • Leisure & Tourism
      • Outdoors, Camping & Hiking
      • Passenger Aviation
      • Travel Industry
      • View All Travel

  • Policy & Public Interest
      • Policy & Public Interest

      • Advocacy Group Opinion
      • Animal Welfare
      • Congressional & Presidential Campaigns
      • Corporate Social Responsibility
      • Domestic Policy
      • Economic News, Trends, Analysis
      • Education
      • Environmental
      • European Government
      • FDA Approval
      • Federal and State Legislation
      • Federal Executive Branch & Agency
      • Foreign Policy & International Affairs
      • Homeland Security
      • Labor & Union
      • Legal Issues
      • Natural Disasters
      • Not For Profit
      • Patent Law
      • Public Safety
      • Trade Policy
      • U.S. State Policy
      • View All Policy & Public Interest

  • People & Culture
      • People & Culture

      • Aboriginal, First Nations & Native American
      • African American
      • Asian American
      • Children
      • Diversity, Equity & Inclusion
      • Hispanic
      • Lesbian, Gay & Bisexual
      • Men's Interest
      • People with Disabilities
      • Religion
      • Senior Citizens
      • Veterans
      • Women
      • View All People & Culture

  • Hamburger menu
  • Cision PRWeb provides efficient communication tools to continuously engage with target audiences across multiple online channels
  • Create a Free Account
    • ALL CONTACT INFO
    • Contact Us


      11AM ET Sunday – 8PM ET Friday

  • Send a Release
  • Sign up
  • Log in
  • Resources
  • RSS
  • GDPR
  • News in Focus
    • Browse All News
    • Multimedia Gallery
  • Business & Money
    • Auto & Transportation
    • Business Technology
    • Entertain­ment & Media
    • Financial Services & Investing
    • General Business
  • Science & Tech
    • Consumer Technology
    • Energy & Natural Resources
    • Environ­ment
    • Heavy Industry & Manufacturing
    • Telecomm­unications
  • Lifestyle & Health
    • Consumer Products & Retail
    • Entertain­ment & Media
    • Health
    • Sports
    • Travel
  • Policy & Public Interest
  • People & Culture
    • People & Culture
  • Send a Release
  • Sign up
  • Log in
  • Resources
  • RSS
  • GDPR
  • Send a Release
  • Sign up
  • Log in
  • Resources
  • RSS
  • GDPR
  • Send a Release
  • Sign up
  • Log in
  • Resources
  • RSS
  • GDPR

Eaton Square Releases Global Outlook 2020 for Technology, Media and Telecoms M&A
  • USA - English

Eaton Square publishes it's first Global Outlook report for Technoloy, Media and Telecoms M&A for 2020.


News provided by

Eaton Square

Nov 19, 2019, 17:00 ET

Share this article

Share toX

Share this article

Share toX

Eaton Square: Technology M&A Outlook 2020
Eaton Square: Technology M&A Outlook 2020

MELBOURNE, Australia, Nov. 19, 2019 /PRNewswire-PRWeb/ -- With the end of 2019 on the horizon, senior Principals at Eaton Square publishes their expert opinions on trends they see emerging in the M&A market specifically in technology, media and telecommunications.

Learnings and Outlook in Tech M&A

"The mainstreaming of the Digital Transformation trend continues to drive acquisition demand for technology services businesses and digital transformation platforms. We are seeing prices for digital transformation skill sets at the upper end of historic multiple ranges, especially for businesses that have hard-to-source skills sets. Key skills that are in demand include those associated major enterprise SaaS platforms such as Salesforce, Workday and ServiceNow, plus strong demand for skills across the spectrum in Cybersecurity.

  • The market for cybersecurity solutions and services continues to grow with no abatement. Especially in toolsets that integrate with most mainstream solutions and the latest digital platforms. Demand for skillsets in this sector is especially strong.
  • The growth of Private Equity in the IT Services sector is also pushing up the process and giving sellers an option beyond just strategic buyers. Some sellers are attracted to working with Private Equity as it enables them a 'second exit' which is relatively new to the services sector.

Fearless Forecast for 2020

  • The availability of low-interest debt is expected to sustain the market for acquisitions as it remains cost-effective to purchase growth in addition to pursuing organic strategies.
  • PE Funds will continue to bulk up portfolio companies with bolt-on acquisition to accelerate growth and leverage the buy/sell arbitrage from buying sub-scale business and selling market share leading platforms
  • We see a decline in funding for 'Field of Dream' strategies that rely on spending big to capture market share outside the US and minor players struggle to gain sufficient scale to dominate globally." - Neil Bourne, Eaton Square Managing Principal (Sydney)

"Consolidation is likely to continue where technology provides a distinct competitive advantage to the larger players. Sectors such as financial services and banking in North America are key.

Fearless Forecast for 2020

  • Developed regions and jurisdictions such as the UK, Canada and Australia have seen their currencies lower to represent good value for a variety of local political and economic reasons. 2020 is a good time for value-based cross-border acquisitions, especially for leading technology expertise.
  • Mobile commerce has yet to hit North America in the way Asia and many parts of Europe have adopted, especially in terms of cashless/cardless transactions. We expect many acquisitive plays to help a variety of players leapfrog the time needed for organic growth; think large tech, telco, digital retailers and more!
  • The onset of 5G Networking is a game-changer. It will allow for applications previously unfathomable due to latency and reliability issues. We expect to see determined M&A activity as enterprises seek to gain early-mover advantage in their chosen fields." - Andrew Light, Eaton Square Managing Principal (Canada)

"During 2019 we saw a significant shift in technology investing and the geopolitical landscape. Some takeaways in looking back over 2019 are:

  • Huge upswing in engineering subcontract organizations. They are now very niche-oriented towards specific disciplines of talent vs centralized in a low-cost region such as India. In software, for instance, they are more interested in Programmable logic or ASIC development vs the previous push for simple web designers. RF, OPTICS, POWER etc. are all other discipline-specific groups that have had a surge of acquisition.
  • Multiples on tech plays seem to differ from strategic investors vs straight financial investors. Strategic investors seem to perceive a multiple 30% higher as valid. While this is not necessarily new its worth being aware of.
  • All hardware companies become software companies ultimately; this is not a new concept but with the advances of Internet of Things (I0T) and Artificial Intelligence (AI) as a front end for everything electric, it seems to be an accelerating trend.

Fearless Forecast for 2020

  • Telecom Original Equipment Manufacturers (OEM) will once again thrive as revenue will flow to the inventor vs the channel. There as been a void in telecom R&D efforts due to low margins and with the IoT demand it will push need over cost.
  • Regardless of what General Motors and the Media are telling you, there is a significant part of key automotive companies, software companies and computer companies all investing in smart cars, autonomous driving, sensor tech, EV tech etc. Volkswagen and Ford are trying to lead the investment bandwagon. Most automotive companies have stopped R&D investment in combustion engines. This investment and lack of investment will show itself more and more as the year goes on.
  • IoT will have a five year + reign on consumer electronics, if it's electric it can be controlled and interconnected through a local area network.
  • Food Tech is only just beginning. With just over a billion capital raising over the past 18 months and there are only four significant sized players in the market. As the product has now moved to the fast food industry this trend will continue due to the rapid expansion of the market. Major R&D investment such as Independent Chemists, labs and such will dominate this acquisition space
  • Fabless, R&D less and office-less virtual companies are becoming the norm. Ideas can be brought to market with a very small indirect cost but considerable direct costs. With the onset of WEWORK and other co-working environments, firms are hiring based on talent/cost vs geography. This will have a positive effect on mid-market cities.
  • The new dinosaurs in 2020 and beyond are a number of tech/business tools and products which will disappear. For instance, the office telecom system (Pollycom, Cisco etc. will hurt), cubical farms and large office footprint will diminish (hurting the Herman Miller type companies), physical cash and cash management infrastructure will go away with EPS and, tap and go plus Cryptocurrencies (hurting firms like NCR, IBM, Brinks etc.), and remote controls and such will disappear as your phone will become a master remote control for everything tech in the home." - Matthew Pritchard, Eaton Square Principal (Hong Kong)

Summary

Despite the economic challenges, Eaton Square Principals report a positive forecast that mid-market mergers and acquisitions in Tech will continue to be an important source of innovation and growth in 2020.

"With the onset of 5G and the speed of advancements in AI and IoT, we see 2020 as a good time for value-based cross border acquisitions." - Reece Adnams, Global Managing Principal, Eaton Square

SOURCE Eaton Square

Modal title

Contact PRWeb

  • 11AM ET Sunday – 8PM ET Friday
  • Contact Us

About PRWeb

  • About PRWeb
  • Partners
  • Partnership Programs
  • Editorial Guidelines
  • Resources

Why PRWeb

  • Why PRWeb
  • How It Works
  • Who Uses It
  • Pricing

Accounts

  • Create a Free Account
  • Log in
  • Contact Us

Do not sell or share my personal information:

  • Submit via [email protected] 
  • Call Privacy toll-free: 877-297-8921

Contact Cision

Products

About

My Services
  • All News Releases
  • Online Member Center
  • ProfNet
Cision Distribution Helpline
888-776-0942
  • Legal
  • Site Map
  • RSS
  • Cookie Settings
Copyright © 2025 Cision US Inc.