Current developments in the software sector landscape

Our latest Carlsquare software sector report explores evolving market conditions, investor sentiment, and M&A trends shaping the global software industry in 2025.

> Download the full report here

Key Software Sector Trends Shaping 2025:

• M&A momentum is building: Q1 was the fourth consecutive increase in quarterly disclosed M&A deal value; transaction multiples are above the 2024 average
• North American companies maintain valuation premiums over European peers, driven by stronger growth and near-equal profitability
• Infrastructure-related tariffs drive buyers to focus on domestic or jurisdiction-aligned, asset-light targets
• Rule of 40+ companies growing at least 20% with strong retention, scalable cloud infrastructure, and AI exposure are commanding top-quartile M&A multiples

Should you have questions about the software sector landscape or wish to discuss your M&A strategy, our door is always open.