The Technology, Media & Telecommunications (TMT) industry drives the rapid pace and scope of digital transformation through new strategies and the development of innovative technologies, products and services that help to refine how we work, live and do business.
M&A in the Tech Sector
Significant investment in the TMT sector has resulted in the emergence of new trends, technologies, business models and opportunities. Deal momentum is expected to continue around the trend of digital convergence advances. It is important to understand what the touchpoints can be, the issues that may impact deal momentum and how to move forward in a beneficial manner, focusing on areas such as including price and consideration issues, shifting deal terms, employee benefits, IP, antitrust, foreign direct investment rules, divestitures, and post-acquisition integration.
Drivers of Digital Transformation: 5G and Cloud Services
With its high-speed connections, ultra-low latency and ability to transmit huge volumes of data as well as enable simultaneous connections with multiple devices, 5G is helping to drive many important new business opportunities. Used to implement and enhance multiple smart capabilities, such as asset tracking, connected shopping, smart homes and smart agriculture, 5G enables the connection of massive Internet of Things networks, allowing devices to connect among themselves and the internet. Cloud services and the use of data are accelerating and DT programs are evolving as businesses adapt to the current pandemic and position themselves to remain competitive. The increased demand for new ways of working and living has resulted in a shift in cloud adoption resulting in speed of execution, lower costs and scalability.
Data Centers
In the era of rapid digitalization, the physical structures that facilitate the efficient transmission, storage and processing of data have increasingly critical roles to play in meeting our exponential growth in data usage. As digital infrastructure scales up, so does interest in investing into this new asset class, especially by long-term private capital investors. It is important to understand the legal and commercial issues that drive and shape data centers' offerings and know how to address them.
Regulation and Compliance
As the pace of innovation accelerates, new regulatory and compliance questions and considerations will continue to arise. Dynamic companies need to manage heightened regulatory activity and continued scrutiny of the TMT industry. It is important to understand how regulators will shape new laws and share information on compliance and enforcement activities. As technologies are deployed in more sophisticated ways, it is crucial to anticipate regulatory risks as well as enable business innovation and growth.
