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Private equity investors shift tech bets from IT services to AI startups

Technology July 27, 2026 07:00 AM
Private equity investors shift tech bets from IT services to AI startups

Private equity firms are redrawing their tech investment playbook, shifting capital from traditional information technology services and software companies to startups built around artificial intelligence.Bankers and investors told ET that interest is expanding beyond capital-intensive AI infrastructure to applications that automate business workflows, as AI reshapes the software landscape and raises questions over legacy software valuations.The