Bilal Zuberi argues that now is an opportune time for startups to consider selling. Valuations in the tech sector have surged faster than actual revenue growth, largely driven by optimism around AI and the financial pressures on mega-funds to deploy capital. This discrepancy creates a fragile valuation environment. As a result, mergers and acquisitions (M&A) become appealing for buyers looking for future potential. However, Zuberi warns that these inflated valuations are at risk of correction, indicating a late-cycle exuberance. Corporate balance sheets in large tech companies are currently robust, with firms like Apple and Microsoft sitting on substantial cash reserves. This financial strength leads to aggressive M&A strategies, especially in AI, where firms face pressure to enhance capabilities quickly. However, Zuberi notes that this cycle could shift. Once these companies make a few significant acquisitions, they often face integration challenges that can stall further M&A activity for years. Regulatory changes are also on the horizon. Zuberi suggests that antitrust scrutiny will likely increase as the AI landscape matures and market power becomes more defined. Selling before this regulatory shift could be a wise decision for founders. Additionally, while IPO markets may open selectively, many startups are still hesitant to go public, preferring to sell before they lose negotiating leverage. The rise in secondary transactions further complicates the landscape, as VCs face pressure to liquidate holdings, which can lead to complicated cap tables. In this context, M&A offers a clearer path to liquidity for both founders and investors.