DIGITAL IS IN THE DRIVER’S SEAT M&A activity overall has trended upward for decades, despite drops here and there (see Figure 1). Accenture Strategy research shows 84 percent of respondents indicate their firm acquired another company in the past two years, while a third acquired 1 five or more companies. The rush for digital capabilities is a major contributor to recent increases. Nearly one-third of companies logging M&A activity describe themselves as traditional companies acquiring digital companies or assets. Of the most active companies those who completed five or more deals in the prior two years more than half of their acquisitions were related to gaining digital capabilities. These findings are supported by myriad examples ripped from business headlines. For instance, Siemens has invested US$10 billion 2 in software companies since 2007 to help fulfill its digital strategy. As a result, in fiscal 2016, Siemens’ digital business generated around US$4.6 billion, 12 percent more than the prior year—with double digit 3 growth predicted through 2020. 4 | M&A: FROM ART TO SCIENCE