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Sources say Broadcom's $61 billion acquisition of VMware will be conditionally approved by the European Union.

2025-01-18 Update From: SLTechnology News&Howtos shulou NAV: SLTechnology News&Howtos > IT Information >

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Shulou(Shulou.com)11/24 Report--

Thanks to the CTOnews.com netizen Mr. Air, Xiao Zhanche's clue delivery! Beijing time on the evening of June 12, it is reported that a number of people familiar with the matter said today that the acquisition of cloud computing company VMware by US chipmaker Broadcom is about to get conditional approval from the European Union.

In May 2022, Broadcom announced that it would buy VMware for about $61 billion, one of the largest technology deals in history. Subsequently, a number of regulators around the world launched investigations, including the United States, the United Kingdom and the European Union.

In April, the European Commission, the EU's antitrust regulator, publicly opposed the deal, saying it would be blocked unless adequate remedies were in place. Broadcom then proposed remedial measures to address EU concerns.

Whether the European Commission will eventually approve the deal will depend largely on the interoperability remedies that Broadcom provides to competitors, people familiar with the matter said today. The European Commission and Broadcom declined to comment.

The EU is scheduled to make a final decision by July 17.

One of the remedies proposed by Broadcom focuses on the "fibre Channel host bus adapter" (FC HBA), which mainly addresses the concerns of rival Marvell Technology, according to one of the people familiar with the matter. Marvell Technology has not commented on this.

Broadcom mainly supplies chips for data center networking, as well as proprietary chips to power artificial intelligence (AI). Before acquiring VMware, Broadcom had made several large mergers and acquisitions, including the acquisition of the enterprise security business of semiconductor company LSI, network technology maker Brocade, large software company CA and network security company Symantec.

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