UK says Broadcom's $61 bln VMware deal could hurt server competition

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UK says Broadcom's $61 bln VMware deal could hurt server competition
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Britain's competition regulator said U.S. chipmaker Broadcom's acquisition of VMware could make servers more expensive, and it would refer the $61 billion deal to an in-depth inquiry unless its concerns were addressed.

A smartphone with a displayed Broadcom logo is placed on a computer motherboard in this illustration taken March 6, 2023. REUTERS/Dado Ruvic/IllustrationBroadcom has five days to address CMA's concerns

Britain's Competition and Markets Authority said on Wednesday the deal could dampen innovation and drive up the cost of computer parts and software for servers. The regulator said Broadcom had five working days to address its concerns, after which it would decide within a further five days whether to refer the deal to an in-depth investigation.

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