New diligence challenge: Uncovering AI risks and opportunities

New diligence challenge: Uncovering AI risks and opportunities 
Bain & Company; by Benjamin Farmer, Gene Rapoport, Richard Lichtenstein, Emmanuel Coque, Amy Wall, and Parker DeRensis; 10/27/25 
At a Glance:

• Private equity investors and M&A dealmakers now evaluate artificial intelligence’s potential impact as a critical step in a full potential diligence.
• The three categories of AI’s impact are revolution, transformation, and augmentation.
• AI’s potential to disrupt or create opportunities can vary significantly based on where the target plays within an industry.