How Tech M&A Now Prices Customer API Dependencies

In this episode of Tech M&A with Fexingo, Lucas and Luna dive into how acquirers are now slicing valuations based on a target's API dependencies. With the recent Apple vs. OpenAI trade secrets lawsuit highlighting the risks of embedded third-party integrations, deal teams are increasingly scrutinizing API concentration and lock-in. Lucas breaks down a hypothetical $200 million SaaS acquisition where the buyer docked 15% off the purchase price after discovering that 70% of the target's core workflows depended on a single API from a vendor with a history of sudden pricing changes. They discuss earnout structures that tie payouts to clean API migration, and reference recent market moves like Oracle's 6.8% dip and Snowflake's 2.2% gain as signals of API-driven volatility. If you're selling a software company or advising on deals, this episode will reshape how you think about integration risk. #TechM&A #APIDependency #M&ARisk #SaaS #SoftwareAcquisition #Valuation #Earnout #Oracle #Snowflake #Apple #OpenAI #IntegrationRisk #DueDiligence #TechDeals #BusinessPodcast #FexingoBusiness #AcquisitionStrategy #TechRisk Keep every episode free: buymeacoffee.com/fexingo