Broadcom CEO: the acquisition of VMware will not increase the price of the latter products.
CTOnews.com December 3 news, Broadcom (BTO) has not yet completed the acquisition of VMware. Recently, it has been reported in the market that Broadcom will raise the price of VMware products after the completion of the merger and acquisition deal. In response, Broadcom CEO Hock Tan issued a statement saying that Broadcom's acquisition of VMware will not lead to an increase in the price of the latter's products.
CTOnews.com learned that in May, US chipmaker Broadcom announced a $61 billion acquisition of cloud computing company VMware, one of the largest technology deals in history, second only to Microsoft's $69 billion acquisition of Activision Blizzard and Dell's $67 billion acquisition of EMC in 2016.
Broadcom's acquisition of VMware will help the company shift from designing and selling semiconductors to enterprise software, making it more profitable. Enterprises use VMware products to run their own servers and cloud servers more efficiently.
The deal has been subject to long-standing investigations by EU and UK competition regulators.
Broadcom is the world's leading wired and wireless communications semiconductor company. Its products deliver voice, data, and multimedia to and from home, office, and mobile environments. Broadcom provides the industry's broadest, best-in-class system-on-chip and software solutions for manufacturers of computing and networking equipment, digital entertainment and broadband access products, and mobile devices.
VMware, headquartered in Palo Alto, California, USA, is a global provider of cloud infrastructure and mobile commerce solutions, providing VMware-based solutions that enable enterprises to maintain customer trust through data center transformation and public cloud integration, and to run, manage, connect and protect any application on any cloud and device.
