Broadcom Said to Be in Talks to Acquire VMware

Chipmaker Broadcom is in talks to amass cloud service supplier VMware, folks accustomed to the matter advised Reuters.

Negotiations between Broadcom and VMware are ongoing and a deal just isn’t imminent, the sources stated. The deal phrases below dialogue couldn’t be realized.

The acquisition would additional diversify Broadcom’s enterprise away from semiconductors and into enterprise software program, following its $18.9 billion (roughly Rs. 1,46,591 crore) acquisition of CA Technologies and its $10.7 billion (roughly Rs. 82,997 crore) buy of Symantec’s safety division within the final 4 years.

Bloomberg News first reported the deal late on Sunday. Broadcom and VMware didn’t instantly reply to Reuters’ requests for remark. As of Friday’s market shut, the market capitalisation of VMware was $40.3 billion (roughly Rs. 3,12,598 crore).

Michael Dell is VMware’s greatest investor with a 40 % stake because of Dell Technologies having spun out VMWare to its shareholders final yr, in accordance with Refinitiv knowledge.

Private fairness agency Silver Lake, which has beforehand invested in Broadcom, is VMware’s second largest shareholder with a ten % stake, Refinitiv knowledge reveals.

© Thomson Reuters 2022