Portfolio Services

Across private equity portfolios, there is no shortage of AI success stories. One company reduces support tickets. Another automates invoice processing. A third improves forecasting accuracy. Each result looks positive in isolation. Yet at the portfolio level, something still feels wrong.

Most AI initiatives in private equity portfolios never translate into EBITDA uplift. This article explains why value gets lost, how ROI fog forms, and what operating partners consistently underestimate.

Private equity has poured billions into MSP roll-ups over the last decade. The thesis is familiar: acquire strong regional operators, standardise operations, unlock scale, and expand margins. On paper, it works. In reality, most MSP platforms hit an invisible wall somewhere between acquisition #2 and #4.

Across private equity portfolios, the same conversation repeats itself. An AI pilot shows promise. A proof of concept is funded. Early results look encouraging. Then time passes.