What’s more, technology startups face a challenging fundraising environment, which could increase pressure to sell to buyers such as the major dealership management system providers, Greenfield said.
“Many startups will face an unfriendly reception for raising funds this year, and for those who haven’t been able to reduce costs and get their [cash burn rate] under control, they may be forced to liquidate and sell out,” he said.
Even upstart DMS provider Tekion will be watching for available technology that could be an asset.
“While we will not be actively going out and looking for acquisitions, we will be keeping our eyes open and looking at acquiring products and/or companies to enhance value for our customers and help accelerate our growth,” Tekion CEO Jay Vijayan said in an email statement provided to Automotive News.
Here’s a breakdown of the stated plans from Reynolds, Cox and CDK.
