The number of completed data center merger & acquisition (M&A) deals have surpassed the 100 mark for the first time ever, according to new data from Synergy Research Group.
Overall M&A deal volume rose 6 percent in 2019 from the year before and more than doubled from 2016. According to the data, a total of 350 deals have closed within the last five years.
One notable change in 2019 was that the aggregate value of last year’s deals actually declined, despite the increase in volume. That was due to a 24 percent reduction in average deal value, continuing a trend that was observed two years ago. Average deal values peaked in 2017, due to three multibillion-dollar deals and three valued at more than $1 billion each. In the two years following, the number of billion-dollar deals dipped steadily.
“The aggressive growth of cloud services and outsourcing trends more generally are fueling a drive for scale and geographic reach among data center operators,
