back to article Watchdog: Broadcom buy of VMware may be bad for competition

Britain’s competition watchdog fears Broadcom’s proposed $61 billion purchase of VMware may lead to higher prices for servers and damage potential innovation. The process began in November when the Competition and Markets Authority opened a preliminary inquiry into Broadcom’s purchase of the former Dell Technologies-owned …

  1. Yet Another Anonymous coward Silver badge

    $61 billion

    Why don't they just buy the UK and not have to worry about it ?

  2. VoiceOfTruth Silver badge

    As if

    -> Britain’s competition watchdog fears

    As if Britain and its chair polishing "competition watchdog" is even remotely important. The Beano and Spangles had more effect on British life than the opinions of the "competition watchdog".

    1. Yet Another Anonymous coward Silver badge

      Re: As if

      How dare you sir !

      I shall inform his majesty and he will most certainly send a gunboat to punish the foreigners for their impertinence

  3. Joe Dietz

    NSS: "Broadcom buy of VMware may be bad for competition"

    Duh, but hardware as to why it would be bad? Seriously? Hardware is just going to keep on working with vmware, it's nearly impossible for it to not. You should be far, far more concerned about the _virtual hardware_ being inaccessible. The choice is VMW or "the cloud". AWS, Google and Azure look forward to this acquisition no doubt, THAT is the bad you should be worried about.

    1. katrinab Silver badge
      Meh

      Re: NSS: "Broadcom buy of VMware may be bad for competition"

      Broadcom doesn't, as far as I'm aware, currently sell any virtualisation software. So them buying VMWare won't reduce the number of options in the market, therefore from a competition perspective, it won't have any impact.

      However, at the moment, VMWare customers can choose to run their software on a wide range of different hardware, including Broadcom's. There is a possibility that they could make VMWare run best on Broadcom hardware, and that is certainly a competition angle they can look it.

      1. Anonymous Coward
        Anonymous Coward

        Re: NSS: "Broadcom buy of VMware may be bad for competition"

        I think you are giving Broadcom far more credit than they deserve.

        The knife cuts both ways. Is it technically possible for Broadcom to advantage their hardware on VMWare? Sure, that is technically possible. The corollary means users with non-Broadcom chips (ie: Intel) will dump VMWare for other hypervisors. That would negate any possible market upside of trying to lock their chips to software. Not to mention the chip industry is cut-throat, Broadcom won't risk any sort of customer lock-out to their chip business.

        Frankly, I think this is looking for monsters where they don't exist. Did EMC advantage their their storage to VMWare when they bought the company? Did Dell advantage their servers to VMWare when they owned VMWare? Why would (yet another hardware company) do that behavior when they own VMWare??

        1. Richard 12 Silver badge

          Re: NSS: "Broadcom buy of VMware may be bad for competition"

          Currently, hardware manufacturers share commercially sensitive information with VMware under embargo, so they can ensure their new products work reasonably well under VMware at launch.

          Broadcom is a direct competitor to many of these manufacturers.

          I'm sure you can figure out the problem.

  4. Ace2 Silver badge

    So dumb

    If it wasn’t going to hurt “competition,” why would Broadcom have wanted to buy it?

    We should break up all of these conglomerates. They benefit no one but Wall Street.

    1. Marty McFly Silver badge
      WTF?

      Re: So dumb

      Right. Strictly benefits Wall Street and all those people* who invest in those companies. They should all be punished for risking their money with the expectation of a financial reward. Their gains in stock value and dividend payments are all undeserved. We must crush their financial investments.

      * Retirement plans in 401K investments, IRAs in mutual funds, etc. You know, people like us.

  5. Rgen

    Of course it is bad. Their goal is to create monopolies. I hope it is blocked

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