Massive Tech is there swallowing artificial intelligence companies, and Apple is quietly leading the pack. Microsoft, Alphabet, Amazon, Nvidia and Apple have completed acquisitions of 88 artificial intelligence and machine learning companies over the past two decades, according to PitchBook data verified by Quartz Meta.
Microsoft acquired Nuance Communications in 2022 for a record $19 billion, the highest price ever for any AI deal for these tech companies. Nuance Artificial intelligence tools are used in Microsoft healthcare cloud products. Recognizes and transcribes speech during doctor visits, phone calls and voice messages. While Microsoft spent the most on a single transaction, Apple is the largest buyer of artificial intelligence companies by number of companies.
From 2017 to last year, Apple purchased more than 20 artificial intelligence startups, which is about double the number purchased by Microsoft and Meta during that period. Apple’s largest transaction took place in 2013 when bought the Israeli motion detection hardware and software company PrimeSense — which is more on the “machine learning” side of the spectrum. This was Apple’s most vital AI-only deal Purchase of Xnor.ai for $200 milliona Seattle-based startup focusing on AI-based image recognition tools, in 2020.
The value of AI acquisitions in the tech industry peaked in 2021, and since then both the value and number of deals have been dwindling, especially as regulators apply greater antitrust scrutiny to the tech industry.
But that doesn’t stop massive tech companies from finding ways around these problems. For example, Microsoft “acquired” AI overkill, paying a licensing fee in March to hire most of its employees. Apple bucked the downward trend in mergers and acquisitions (M&A) by purchasing a Canadian startup DarwinAI earlier this year.
