AI acquisitions hit record numbers in 2019 as consolidation wave grows

When SAP veteran Bill McDermott took over the CEO spot at digital workflow company ServiceNow in October, his mandate focused on growth. "Should we choose to do'tuck-ins' to compliment what our customers need, to get us somewhere faster, we'll do that very carefully," he told CNBC. ServiceNow kicked off 2020 with one such "tuck-in": the acquisition of Israeli company Loom Systems, an AIOps company that uses artificial intelligence to give enterprise users insights into digital operations and fix IT issues. The acquisition symbolizes a bigger trend in enterprise technology: Acquiring AI startups enables technology vendors to capitalize, enhance or expand their capabilities while bringing scarce talent aboard. Last year, consolidation in the AI market hit record numbers.