4 ms·

Care to explain how?

• JohnFen 2y ago
  By reducing competition and diversity. Such acquisitions also often (but not always) results in the worsening of the products/services that the acquired company produces. It's pretty difficult to come up with examples of acquisitions or mergers that resulted in something positive for the market and society at large.
  • smallmancontrov 2y ago
    M&A people specialize in making excuses as to why their merger will definitely be something positive that benefits the market and society at large. Of course, time usually proves them wrong and nobody is ever held accountable, but don't underestimate them, they are good at this.
  • jahewson 2y ago
    Surely Nvidia buying a company in the space increases competition? They have sizeable resources to throw behind their new company. The number of players in the space is the same today as it was yesterday. Remember that many startups are heading towards failure and an acquisition is a soft landing. As for M&A being universally bad, I’m not sure where to start with that? I don’t think there’s a single notable company in existence that hasn’t made successful acquisitions. The economic benefits of Shell have surely been greater since they moved on from the seashell importing business. Apple created much value with their purchase of failing NeXT.