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M&A targets can’t avoid AI disclosure much longer

· 5 minute read

· 5 minute read

M&A targets are either pretending AI doesn’t exist or building robust governance frameworks, and Noetica is tracking every move.

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Two ends of the spectrum


Why silence won’t hold up

 

Highlights

  • M&A targets are taking two opposite approaches to AI: denying use entirely or building full governance frameworks.
  • Governance frameworks now often cover compliance, data governance, IP protection and model training restrictions.
  • Acquirers are unlikely to keep accepting 'we don't use AI' as a credible representation going forward.

 

By Dan Wertman, originally published on the Noetica blog, now part of Thomson Reuters. October 2025.

Plot twist: AI found itself in M&A deals. Not as a buyer or a seller — but a trend-setter.

Noetica’s analytics have surfaced something fascinating: M&A targets are now frequently making AI representations, and the approaches are all over the map.

 

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Two ends of the spectrum

On one end of the spectrum, you’ve got targets completely disclaiming AI use. On the other end, we’re seeing comprehensive governance frameworks, covering everything from compliance and data governance to IP protection and model training restrictions.

In other words, deals are either treating AI like it doesn’t exist or treating it like nuclear material that needs full containment protocols.

Why silence won’t hold up

Noetica’s software is tracking these terms in real-time across M&A transactions, and the market is moving quickly. As AI capabilities expand across industries, acquirers won’t accept “we don’t use AI” as a credible representation — especially when employees are using it with or without formal policies.

Turns out, the best way to track AI’s impact on M&A is to let AI do the watching.

For more deal-term benchmarking like this, explore the latest Capital Markets Radar Report from Noetica, now part of Thomson Reuters.

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Acquiring an AI company

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