Story perspectives

Software loan share 9%, deals plunge 43%, credit shrinks

6/9/2026

Summary

Story summary

Software firms made up 9% of U.S. loans in 2026, the lowest share since 2013, while leveraged-buyout loan share fell to 17.5% from 34.5% earlier.
Global software acquisition deals totaled US$50 billion in first five months of 2026, versus US$88 billion a year earlier.
Private-credit lenders issued US$44.76 billion of loans to May 2026, a 40% drop from the prior quarter, prompting buyout investors to demand proof software products are shielded from AI substitution.

History

Historical Context

The 2000 dot-com bust and the 2001 telecommunications crash—spurred by more than $500 billion of debt-financed fiber and wireless expansion after the 1996 Telecommunications Act—shook tech credit markets and left investors with only about 20 % of bond value. Regulators responded by monitoring sector-specific exposure, so today’s lenders require product-shielding proof before financing software loans.

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Story summary

Software firms made up 9% of U.S. loans in 2026, the lowest share since 2013, while leveraged-buyout loan share fell to 17.5% from 34.5% earlier.
Global software acquisition deals totaled US$50 billion in first five months of 2026, versus US$88 billion a year earlier.
Private-credit lenders issued US$44.76 billion of loans to May 2026, a 40% drop from the prior quarter, prompting buyout investors to demand proof software products are shielded from AI substitution.

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