Software buyout deal value collapsed to $50 billion in the first five months of 2026, according to PitchBook data reported by the Financial Times. That’s down from $88 billion during the same period in 2025, a drop of roughly 43%. It also marks the lowest level of software buyout activity since the COVID-19 pandemic ground markets to a halt.
From record highs to near-record lows
Just last year, software buyout volumes hit $290 billion for the full year, an 11-year high. Now, 2026 is on pace to be the weakest year for software buyouts since 2018.
Both US and European software private equity exit activity has fallen sharply as a share of total market activity.
AI broke the valuation model
