A PYMNTS Company

EU Sends Objections To Broadcom’s Takeover of VMware, Says It Could Hurt Competition

By  |  April 12, 2023

The European Commission has stated that the potential $61 billion acquisition of VMware by Broadcom, a US chipmaker, may limit competition within certain hardware component markets.

    Get the Full Story

    Complete the form to unlock this article and enjoy unlimited free access to all PYMNTS content — no additional logins required.

    yesSubscribe to our daily newsletter, PYMNTS Today.

    By completing this form, you agree to receive marketing communications from PYMNTS and to the sharing of your information with our sponsor, if applicable, in accordance with our Privacy Policy and Terms and Conditions.

    The commission notified Broadcom of its preliminary perspective following a comprehensive examination of the acquisition that commenced in the latter part of last year.

    Read more: UK To Conduct In-Depth Probe Into Broadcom’s $61B VMware Deal

    In December 2022, the Commission opened an in-depth investigation to assess if Broadcom’s acquisition of VMware may restrict competition in the market for the supply of NICs, FC HBAs and storage adapters.

    The Commission has conducted a wide-ranging investigation to understand the market and the potential impact of the deal. This investigation has included, among others, analyzing internal documents provided by the parties and gathering views from server users and manufacturers, as well as from virtualization software suppliers.

    Broadcom now has the opportunity to reply to the commission’s objections and to request an oral hearing.