When assembling its AIA/Deltek Architecture Billings Index (ABI) score for July 2026, the American Institute of Architects asked firms about merger and acquisition (M&A) activity in the architecture industry.
Overall, 30% of responding firm leaders reported they have either gone through with an M&A or actively considered one over the last year.
Large firms with annual billings of $5 million or more (43%), firms located in the South (39%), and firms with a commercial or industrial specialization (35%) were the most likely to report having gone through with, or actively considered, an M&A.
Of the different types of M&A activities:
- 10% of firms indicated they actively considered being acquired by another firm
- 8% actively considered acquiring another firm
- 8% actively considered merging with another firm
- 4% carried out an M&A with another firm
In addition, 29% of firms indicated they completed or considered an internal ownership transition over the last year. However, slightly more than half of firms (54%) reported they have not engaged in any merger, acquisition, or ownership transition activity over the past year.
At the firms that have participated in, or considered, an M&A over the past year, 54% rated these two factors as very important in their decision:
- Ability to compete more effectively
- Survival
An additional 53% of respondents considered an M&A for its ability to:
- add new markets
- serve a broader area
- develop an international presence
- add greater project diversity to hedge against economic and construction cycles
Overall, more than half of responding firms (59%) think it is unlikely that their firm will be acquired by or merge with another firm over the next three to five years. However:
- 23% think it is likely
- 18% think it is neither likely nor unlikely
Further, 14% of responding firms think it is likely their firm will acquire another firm over the next three to five years, while 69% think it is unlikely, and 18% think it is neither.
Regarding overall trends, 65% of responding firm leaders believe M&A activity among U.S. architecture firms is likely to increase over the next several years, with only 2% expecting it will decrease, and 15% anticipating it will remain at current levels.
— With files from AIA
