AI Disruption Fears Prompt Scrutiny in Hot Private Markets Trade 

Fears that artificial intelligence may spell bad news for software giants have been pressuring stock market valuations for months. Now, those same fears are creeping into private markets too.

Buyers are demanding discounts of as much as 20% to take a piece of private equity firms’ technology-heavy portfolios off their hands, according to people familiar with the matter. That’s worse than the 5% discount they were seeking just weeks ago, the people said, asking not to be identified discussing non-public deals.