Private equity should prioritize AI driving EBITDA growth, such as predictive pricing, supply chain optimization, and customer analytics.
Artificial intelligence is no longer a future concept, it is a present reality reshaping industries at an unprecedented pace. We believe there will be a fundamental shift in how businesses operate, and for private equity (PE), the implications are profound. The next wave of value creation won’t come from financial engineering alone — it will come from strategic AI adoption across the deal lifecycle.
The 6 AI predictions and what they mean for PE
1. Disciplined AI investments replace scattershot pilots
The era of fragmented AI experiments is ending. By 2026, companies will focus on intentional, top-down AI programs targeting a few high-impact workflows. For PE firms, this means prioritizing AI initiatives directly driving EBITDA growth, such as predictive pricing, supply chain optimization, and customer analytics. Firms embedding AI into operational playbooks may create measurable value faster and position portfolio companies for premium exits.
2. Agentic AI moves from pilot to production
Autonomous AI agents — software tools performing tasks without constant human input — will become mainstream. In PE, these agents will scan markets for acquisition targets, automate financial modeling, and monitor portfolio KPIs in real time. Faster deal sourcing and smarter monitoring give firms a competitive edge in identifying opportunities and mitigating risks.
3. Workforce evolution demands new talent strategies
As AI takes over routine tasks, the workforce will shift toward AI-savvy generalists and strategic thinkers, reducing reliance on mid-level specialists. PE firms must anticipate this change and support portfolio companies in reskilling and organizational redesign. Talent risk is real. Firms planning for this transition can accelerate AI adoption and avoid operational bottlenecks.
4. Responsible AI becomes a due diligence imperative
Regulatory scrutiny and ethical concerns will intensify. By 2026, responsible AI framework covering bias, transparency, and governance will be non-negotiable. PE firms should assess AI risk during diligence and verify compliance post-close. Neglecting AI governance could lead to reputational damage and regulatory penalties, impacting valuations and exit timelines.
5. Orchestration platforms enable scalable AI playbooks
AI adoption will move beyond isolated tools to enterprise orchestration layers — platforms that integrate, monitor, and govern AI agents across workflows. For PE, this means creating repeatable AI playbooks that can be deployed across multiple portfolio companies. Scale and consistency will separate leaders from laggards in AI-driven value creation.
6. AI as an ESG catalyst
AI will play a pivotal role in sustainability, including reducing energy use, tracking Scope 3 emissions, and aligning green initiatives with profitability. PE firms leveraging AI for ESG will not only meet investor expectations but also enhance exit multiples. ESG is not just compliance, it’s a growth lever when powered by AI.
How CLA can help private equity with AI
2026 is not about experimenting with AI, it is about operationalizing it for growth. At CLA, we work with private equity firms to help lead the next wave of transformation, creating smarter portfolios and stronger returns.
What's your AI strategy for 2026? Let’s start the conversation.