May 18, 2023
According to people familiar with the situation, Broadcom has made efforts to address European Union (EU) antitrust concerns for its $61 billion purchase of VMware by providing remedies that promote openness, compatibility, and the ability of different systems or products to work together smoothly.
According to a European Commission document, Broadcom presented its application to the EU competition enforcer. In response, the commission extended its decision deadline to July 17, however the specifics of Broadcom’s proposal were not released in accordance with the agency’s rules.
Broadcom has previously been warned by the Commission of potential competition constraints in hardware components that interface with VMware’s virtualization software. To address these concerns, Broadcom CEO Hock Tan traveled to Brussels earlier this month to persuade EU antitrust regulators that the deal for VMware would increase competition in the market.
Broadcom also restated its intention of completing the VMware merger within the fiscal year 2023 and verified progress in filing the required regulatory filings globally. It went on to say that the combination of Broadcom and VMware will enable organizations to accelerate innovation, broaden their options, and tackle complex technological hurdles in the multi-cloud age. Broadcom expressed confidence about authorities acknowledging these advantages.
The sources for this piece include an article in Reuters.
