Connect with us

Hi, what are you looking for?

DOGE0.070.84%SOL19.370.72%USDC1.000.01%BNB287.900.44%AVAX15.990.06%XLM0.080.37%
USDT1.000%XRP0.392.6%BCH121.000.75%DOT5.710.16%ADA0.320.37%LTC85.290.38%
THE BIZNOB – Global Business & Financial News – A Business Journal – Focus On Business Leaders, Technology – Enterpeneurship – Finance – Economy – Politics & LifestyleTHE BIZNOB – Global Business & Financial News – A Business Journal – Focus On Business Leaders, Technology – Enterpeneurship – Finance – Economy – Politics & Lifestyle

Finance

Finance

Broadcom purchases CA Technologies

Broadcom not blowing away investors

Semiconductor manufacturer Broadcom announced its acquisition of software firm CA Technologies for $19 billion.

The deal will expand the horizons of a company that focuses solely on semiconductors – now, Broadcom will have access to software for computers. Broadcom plans on financing the hefty deal through cash and refinanced debt.

Although this may seem like a big acquisition because of the sheer value, investors have been critical of it thus far. Broadcom shares fell 7 percent after the deal was announced, as investors do not know how the two companies will work together or what value CA Technologies will add to the company.

Broadcom CEO Hock Tan believes that the acquisition of CA will allow them to sell software to IT firms across the globe. He states,

This transaction represents an important building block as we create one of the world’s leading infrastructure technology companies. With its sizeable installed base of customers, CA is uniquely positioned across the growing and fragmented infrastructure software market, and its mainframe and enterprise software franchises will add to our portfolio of mission critical technology businesses.

Back in March, Broadcom attempted to acquire semiconductor competitor Qualcomm for $117 billion, but President Trump vetoed the deal. Further, Trump believed that the merger would create national security risks.

However, this will likely not stop Broadcom from trying again – they recently relocated to the US so that the country could keep a closer eye on them. Surely, this is a tactical move to regain the Trump administration’s trust and alleviate any concerns that the merger would pose any national security risks.

Featured image via Flickr/Florian Knodt


Comment Template

You May Also Like

Business

EU Ordered to Pay Portion of Legal Fees in Qualcomm Case In a recent development, the General Court of the European Union, the second-highest...

Breaking News

Trump Urges Alabama to Safeguard IVF Treatment Donald Trump has expressed support for the availability of In Vitro Fertilization (IVF) treatment, aligning himself with...

Online Business

Software Synergy: Choosing the Right Marketing Automation Don’t settle for ordinary marketing – find out how to elevate your brand with the ideal automation...

Technology

According to U.S. officials, on Wednesday, the German software corporation SAP (SAPG.DE) agreed to pay around $222 million to end investigations into bribery schemes...

Notice: The Biznob uses cookies to provide necessary website functionality, improve your experience and analyze our traffic. By using our website, you agree to our Privacy Policy and our Cookie Policy.

Ok