martinwolf, a lower middle market M&A advisor exclusively focused on IT, announced its outlook for 2026. This new annual outlook draws on the diverse perspectives of the martinwolf team, comprised of former owner-operators and subject matter experts who bring firsthand IT industry knowledge and a deep understanding of the market.

“We saw a real pause in the first half of 2025, but dealmaking picked up significantly toward the end of the year, and we expect this higher level of activity to continue in 2026,” said Seth Collins, Managing Partner of martinwolf. “North American IT companies across sectors, including IT Cloud/Tech Enabled Services, IT Supply Chain, and Software/SaaS, are experiencing stronger momentum, so the market is strong. From an M&A perspective, we’re seeing an increasing appetite from firms to put their capital to work, and there are multiple tailwinds that will drive strategics to make acquisitions and grow their service offerings.”

• Overall market stability, lower interest rates and strong financial markets are driving increased activity from buyers, including existing platforms and strategic companies.
• According to martinwolf’s monthly Scoreboard, revenue is expected to grow significantly year-over-year for North American companies in the IT Cloud/Tech-Enabled Services (1.1% to 5.6%), IT Supply Chain (2.7% to 6.1%), and Software/SaaS (2.9% to 14.6%) sectors.
• There is continued movement towards outsourcing IT services as companies remain focused on their own core competencies.
• End users are looking to drive more business through fewer vendors, preferring to work with companies that offer a broader array of services.
• Companies are getting smarter about AI’s application, usage, and impact on M&A deals.

“These dynamics will continue to drive deal flow across the IT M&A landscape in 2026, which is shaping up to be a year of action,” said Alec Buchenic, Vice President at martinwolf. “They create greater flexibility for buyers and sellers so, unlike 2025 where we saw deals close for only select companies, we expect to see a wider variety of assets coming to market this year and closing.”

About martinwolf

martinwolf is a leading M&A advisory firm specializing in IT cloud/tech-enabled services, software/SaaS, and IT supply chain. A trusted partner to IT business owners and buyers, the firm has advised on approximately 300 transactions in more than 20 countries, including eight divisions of Fortune 500 companies. martinwolf brings a strong personal commitment to every client and is relentless in its pursuit of the right outcome. Registered member of FINRA & SIPC.