The headlines seem relentless at times, yet the promise of generative artificial intelligence (AI) to transform so many dimensions of business is undeniable. But how are companies relying on it to improve their M&A capabilities? And what have they learned so far?

To answer those questions, we polled more than 300 M&A practitioners about their views on using generative AI in their M&A processes. New technology rarely lives up to the early hype, both in pace of change and magnitude of impact, but falling short of the hype today doesn’t mean that generative AI tools won’t offer benefits over time. Those benefits will be small to start, they will require investment to fit into a company’s current processes, and they will improve if you inject proprietary data or insights.

Only 16% of respondents are deploying generative AI today, and 16% of nonusers are likely to adopt it over the next 12 months. But 80% of respondents expect to use it within the next three years. The early adopters are primarily in technology, healthcare, and finance, and they tend to be larger companies with moderate M&A activity of three to five deals per year.

Presently, the technology is primarily used for idea generation in sourcing and reviewing data in diligence (see Figure 1). “Generative AI in the screening process can pick up targets that would not be identified with traditional tools,” said one M&A practitioner we interviewed. Another explained benefits in diligence: “Generative AI is helpful in parsing the mountain of data that needs to be reviewed. If you miss a critical fact, it can be a loss. Generative AI can be trained to parse material contracts and identify deviations from a model contract, saving time and helping to focus on problematic areas.”

The use of generative artificial intelligence to date has mostly been in the early stages of the M&A process, from screening to diligence

Another user discussed his company’s use of third-party tools to manage a data room, including automated filing, advanced document search, and document question and response. Among those surveyed, 78% say that they achieved productivity gains from reduced manual effort while 54% saw accelerated timelines and 42% saw reduced cost and improved focus (see Figure 2). Fully 85% of those early users report that it met or exceeded their expectations.

Process efficiencies highlighted as the key potential benefits of using generative artificial intelligence for M&A

M&A practitioners were quick to point out the challenges: “In terms of realizing benefits, it takes us as much time to go through generative AI as it saves us in writing summaries or crafting reports,” said one user. “We see this period as an opportunity to get up to speed on the technology.” Others mentioned data inaccuracy: “While we expect this to get better, we now need to review or even redo the work completed by generative AI,” explained one user. Another addressed the challenges of using public information: “It’s not an issue in idea generation during screening, but it is a challenge in steps like valuing deals.” That user believes it is unlikely that targets will allow potential acquirers access to internal data to input through generative AI tools. These shortcomings were among the issues cited by nonusers. Among those surveyed, the biggest potential risks cited were data inaccuracy, privacy, and cybersecurity (see Figure 3).

Data inaccuracy, privacy, and cybersecurity were the most frequently identified risks to using generative artificial intelligence for M&A

And there is another big word of caution. Being more efficient means that you can look at more deals, but it doesn’t necessarily mean you’ll make better deals. Yes, in some situations, research that took weeks to compile now can be performed in an hour, but it’s the value-added activities that you do with the extra time that make a difference. And M&A practitioners will realize that they can’t use generative AI for everything; they need to know how they can differentiate. That starts by understanding their own M&A process strengths and where they can extend them with this rapidly evolving technology.

Indeed, companies that get the most out of generative AI will invest early to identify the efficiency gains that could deliver a competitive advantage today. Using it for targeted purposes now is a way of building familiarity and setting the stage for higher-impact uses in the future. For example, technology from third-party vendors, without proprietary data or models, is sufficient today, but ultimately, most companies will need to build a more sustainable competitive edge.

Dealmakers that haven’t embarked on the generative AI journey to improve their M&A processes can start by answering three fundamental questions.

Where will generative AI’s benefits provide the most value for our organization? This is one situation for which start small is not always the right answer. Rather than starting small and scattered, look for targeted uses rich in manual effort, repetitive tasks, or creative idea generation. Test and learn your way into generative AI capabilities by applying it where you can reap real benefits. For example, an acquirer could create a tool for a newly merged salesforce to be able to respond to requests for proposals and customize offerings and pitches for the combined company.

Where can we build differentiation over time? Think now about how you could build a sustainable competitive edge. Start by preparing your data. Any frequent acquirer likely has a significant amount of relevant data available today, though it may be in difficult-to-use formats or dispersed across multiple sources. Develop a plan for how to use your data, and begin gathering it now. Your company’s insights can be amplified as they’re built into proprietary tools.

How will we mitigate risks? Today’s generative AI adopters pay close attention to the known issues associated with new technologies. They acknowledge that changes will undoubtedly take longer than expected and require thoughtful management, careful direction, and clear guardrails. For example, data accuracy matters when you are making a big M&A investment. With data inaccuracy at the top of the risk list, prioritize tasks for your generative AI tools to complete that are relatively easy to audit, and do not bypass the important step of review by a human expert. As the technology evolves, you can expect your process to do the same.

Ultimately, don’t lose sight of the biggest fact of M&A life: The best acquirers have over time and through a steady flow of deals perfected the fundamentals of dealmaking. With best-in-class M&A strategies, screening, diligence, and execution, they will consistently outperform less experienced and less rigorous peers. Generative AI can’t replace a skilled M&A practitioner in the driver’s seat.

It’s impossible to know the future, and yet, I’m confident that Ingenuity’s impact on how we explore space will be significant. The little Mars-bound helicopter proved time and again that it was up to the challenges it faced on the Red Planet, and while it has flown its last flight, I can’t help but think about how it’s going to change how we explore other worlds entirely.

Powered flight on other worlds is no longer just a theory

One of Ingenuity’s first, and perhaps the most important, lessons is showing that flight on other worlds is no longer just theory. It’s entirely possible. When Ingenuity was shipped off to Mars, NASA only expected it to fly for five flights, if that.

The little helicopter wasn’t built to withstand the harsh radiation of space like the agency’s other spacecraft, yet it still managed to fly 72 missions through the Red Planet’s thin atmosphere, pushing the boundaries of what we thought was possible on other planets. Not only that, but it also broke record after record. But Ingenuity’s impact on space exploration is far from over just because the helicopter has reached the end of its life.

Beyond proving that flight on other worlds is possible, Ingenuity has also proven that you don’t need expensive parts to navigate other planets.

Ingenuity didn’t use overly expensive, custom-made parts

While most of NASA’s space missions rely on custom-built material, radiation-proof batteries, and slews of other expensive components, Ingenuity was made from commercial stuff the designers and engineers bought off the shelf. That’s because the engineers had to limit the weight of the little spacecraft, which weighed just four pounds.

That’s no easy feat, which meant they had to turn to commercial parts to pull it off. As such, the fact that Ingenuity lasted as long as it did is quite astounding. It shows that we can take risks without spending billions upon billions of dollars to create custom material.

That also meant that Ingenuity’s smartphone computer chip, a Snapdragon 801, was up to twenty times more powerful than the much heavier RAD750 in Perseverance. It didn’t have the protection, sure. But it weighed far less and allowed Ingenuity to do everything it needed to do.

The helicopter’s success will inspire us to take even more chances

Image source: NASA/JPL-Caltech/ASU

Finally, the last way that Ingenuity’s impact will continue to be felt throughout the coming years is in the way it inspires us to take more chances. With Ingenuity, NASA sent a spacecraft made of commercial parts into space. It took a theory that flight on other worlds was possible and took a chance on it.

That’s the kind of attitude we need for the future of space exploration to reach the levels we want it to reach. Without that attitude and the willingness to take chances, we’ll be stuck waiting for many of these space missions to come to fruition.

Can you name the current tallest building in the United States without looking it up?

A lot of us have probably had a vague sort of notion about the tallest buildings. For something like forty years the Empire State Building was the tallest not only in the U.S. but in the entire world. The ESB barely makes the top ten in the United States now. Then, for a while it was the Sears Tower in Chicago (now #3 and called the Willis Tower).

The current U.S. record holder is One World Trade at 1,776 feet.

Now, a very unexpected city has plans to beat that by over 100 feet.  It’s not New York or Chicago. It’s not even one of the fifty largest cities in the U.S.

It’s Oklahoma City. I’ll bet you weren’t expecting that!

Currently, the Devon Energy Center at 844 feet is the tallest in OKC. But, if developers are able to get the zoning approved, a new project will be TWICE as tall as the Devon Building.

The original design was for a 134 story skyscraper in OKC’s Bricktown district. That building WOULD have been the second tallest U.S. building after One World Trade. Now, the developers are going back and asking to extend the building to over 1,900 feet which would be a new U.S. record.

The proposed building, the Dream Tower, would have about 5 million square feet of space and would house a hotel, condos, restaurants, retail space and a public observatory on the top.

Oklahoma City has 25 building that stand at least 200 feet or about 20 stories. So it’s not the dusty cattle junction that you might be picturing. However, the new building will be over a thousand feet taller than the current tallest in OKC. Take a look at this artist’s conception of what the skyline will look like.

You could probably see the nighttime lights from Tulsa, maybe even from Dallas at the top of that thing! Also, it kind of looks like the world’s longest middle finger.

I approve.

KEEP READING: Get answers to 51 of the most frequently asked weather questions…

In Katowice, Poland, a house from the 1970s has undergone quite a renovation, thanks to architect Grzegorz Layer. Spread across 225 square meters (approximately 2,422 square feet), this terraced house has been meticulously redesigned to embrace a contemporary, open-plan layout while paying homage to the classic aesthetics of 1970s Polish modernism.

The comprehensive renovation involved a myriad of changes to the structure. A new staircase was integrated, the ground floor’s level was lowered, internal walls were completely removed, windows were enlarged, and the roof was raised. The result is a spacious and versatile interior that can be easily configured to accommodate various functions.

The expansive ground floor encompasses an entryway, dining room, living room, and a kitchen featuring an island with an extended bar table for casual meals. The only enclosed spaces are a pantry and bathroom, cleverly hidden within a built-in structure painted a vibrant green color.

Large furniture pieces, reminiscent of the iconic meblościanki or “furniture-walls,” keeps the layout organized while emphasizing the home’s geometry. Warmth is infused inside through the use of wood finishes and fluted decorative details, subtly nodding to the wood paneled walls that were popular in the 70s. Light concrete floors provide the perfect canvas for the curated pieces of furniture and accessories.

The color palate on the main level combines white walls and black elements, with soft green details used in moderation.

Steel columns and beams remain exposed to visually suggest the division of spaces on the main level into zones. Lighting plays a pivotal role in enhancing the atmosphere throughout with arranged technical fixtures coexisting with design-driven lamps that echo the time period that the home was originally built.

A new staircase is flooded with natural light while providing access to the upstairs and rooftop terrace.

The second floor is designated as a private area, housing bedrooms, bathrooms, and an office. The redesign of the open staircase, complete with a glass ceiling, allows the spaces on both floors to blend seamlessly, creating a harmonious flow throughout the house.

Photography by Grzegorz Layer.

Caroline Williamson is Editor-in-Chief of Design Milk. She has a BFA in photography from SCAD and can usually be found searching for vintage wares, doing New York Times crossword puzzles in pen, or reworking playlists on Spotify.

Last week the University of Illinois College of Agricultural, Consumer and Environmental Sciences posted these pictures of the Plant Sciences Laboratory. So many of the comments were people who had never heard about it. This little piece of tropical paradise is full of tropical plants, ferns, cacti, carnivorous, and aquatic plants. The observatory is free, open to students and the community, and is a perfect place to spend a day escaping the cold. You can see even more pictures on their Instagram page.

Plant Sciences Labratory
1201 S Dorner Drive
Urbana
M-F 8 a.m. to 5 p.m.
Free

CVS Health has agreed to purchase 264,000 megawatt hours (MWh) of zero-emission renewable energy annually from clean energy producer Constellation Energy to aid its ongoing carbon reduction efforts.

These MWh,  the equivalent of the annual electricity used by nearly 1,000 CVS locations in California, Washington, D.C., Delaware, Maryland and New Jersey, are being purchased through two separate long-term agreements with Constellation — for direct purchase and for renewable energy certificates (RECs). These REC purchases are made possible by Constellation’s long-term agreements with solar projects located in California and Maryland.

The two new investments with Constellation join three similar agreements announced in 2023 and 2022 and represent a combined total of more than 500,000 MWh of clean, renewable energy, making a significant dent in the 2.2 million MWh of energy CVS used across its operations in 2022. The company’s ambition is to source 50% of its energy needs from renewable sources by 2040. Other efforts underway to reduce CVS’ carbon footprint include implementing water-saving programs, eliminating waste and reducing fuel usage.

“Investing in our planet and people’s health are interconnected,” said Sheryl Burke, Chief Sustainability Officer and SVP of Corporate Social Responsibility at CVS in a statement. “As our world continues to evolve, these sustainability investments we’re making right now are increasingly important to create a healthier future for the communities we serve.”

CVS isn’t alone in making investments to reduce its carbon footprint. Other similar initiatives include:

• Amazon expanded its renewable energy capacity by 8.3 gigawatts (GW) in 2022, bringing its total portfolio to more than 20 GW and setting a record for renewable energy purchased by a single company;
• Walmart, which had previously committed to getting 50% of its energy from renewable sources by 2025, advanced its commitment to a zero-emissions transportation fleet with the debut of a 15-liter compressed natural gas engine in April 2023 that will be incorporated into Walmart’s vehicles. The company also has been experimenting with autonomous electric vehicles since 2020;
• In 2019, Starbucks signed a deal with the help of LevelTen Energy to supply clean power to the electricity grids serving 3,000 of its stores; and
• In 2023, The Lego Group announced plans to spend $1.4 billion to design carbon-neutral buildings and facilities and boost production of renewable energy at its sites.