AI Startups Increase Acquisition Activity
Fast-growing AI startups are increasingly making acquisitions to fill product gaps and expand market reach, according to Crunchbase data. Acquisition numbers have risen significantly, with several companies emerging as repeat buyers.
Fast-growing startups in the artificial intelligence sector are increasingly acquiring smaller companies to fill product gaps, enter new markets, and bring specialized teams in-house. Crunchbase data indicates that while AI giant OpenAI is the most active buyer, well-funded startups in areas like legal tech, customer service, and software development have also made multiple acquisitions this year.
Through September 29, acquisitions of AI startups by other venture-backed AI companies reached 195, a 14% increase compared to the entirety of 2025. However, the number of unique buyers grew by only 2%, suggesting that a smaller group of increasingly active acquirers is driving much of this growth.
These deals signal a new phase of competition within the AI sector. Well-funded startups are leveraging mergers and acquisitions (M&A) to broaden their product offerings and customer bases more rapidly than they could through internal development alone. In legal tech, for instance, acquisitions are integrating research, regulatory monitoring, and litigation tools into broader platforms.
Repeat buyers have significantly increased their dealmaking activity. Over the past three years, 67 repeat buyers accounted for approximately 42% of all tracked transactions. OpenAI has been the most active, with 20 AI-related acquisitions, 10 of which occurred this year. Other notable repeat acquirers include Anthropic and legal AI startup Legora, each with five acquisitions this year.