The CEO of Broadcom is attempting to convince the EU to approve the $61 billion sale of VMware. This could be a major move for the tech industry, so stay tuned for updates on the outcome.

CEO of Broadcom tries to persuade EU on $61 billion VMware sale

Hock Tan, the CEO of American chipmaker Broadcom, will attempt to persuade EU antitrust investigators on Friday that his $61 billion offer for cloud computing company VMware, which has drawn scrutiny on both sides of the Atlantic, is pro-competitive.

Tan arrived early on Friday morning in Brussels for a secret hearing on one of the largest mergers in the history of the technology industry, accompanied by his executives and attorneys. As he entered the hearing, he chose not to speak.

Senior European Commission officials, including Guillaume Loriot, the deputy director general for mergers, as well as their equivalents from national competition agencies and attorneys from the EU executive, will hear Tan’s arguments.

Sumit Dhawan, president of VMware, will participate in the session remotely. There aren’t any other outside parties present.

After the Commission issued a warning last month that the merger would limit competition in the market for specific hardware components that work with VMware’s software, Broadcom requested the hearing.

According to other people familiar with the situation, who spoke to Reuters last year, the corporation had anticipated that regulators would view the existence of Amazon, Microsoft, and Google in the cloud computing industry as evidence of fierce competition.

After the oral hearing, Broadcom is anticipated to provide remedies. The EU has until June 21 to make a decision; when concessions are offered, the period will be extended.


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