Tech company with Ballincollig base purchased for $61bn

The global organisation paid $61 billion for the Cork company which they intend to offer enterprise customers greater choice and flexibility to address the most complex IT infrastructure challenges.
Tech company with Ballincollig base purchased for $61bn

The global organisation paid $61 billion for the Cork company which they intend to offer enterprise customers greater choice and flexibility to address the most complex IT infrastructure challenges Pic; larry Cummins

Broadcom Inc, located in California, has bought tech company VMWare, which has a base in Ballincollig.

The global organisation paid $61 billion for the Cork company and intend to offer enterprise customers greater choice and flexibility to address the most complex IT infrastructure challenges.

Within the deal, Broadcom will assume $8 billion of VMware net debt. VMware shareholders can choose to receive either cash or shares of Broadcom stock for each VMware share, according to a statement.

VMware is a leading provider of multi-cloud services for all apps and played a leading role in virtualizing networking and storage, before evolving to become a hybrid cloud and digital workspace leader.

Broadcom is a global technology leader that designs, develops and supplies semiconductor and infrastructure software solutions.

Hock Tan, President and Chief Executive Officer of Broadcom, said, “Building upon our proven track record of successful M&A, this transaction combines our leading semiconductor and infrastructure software businesses with an iconic pioneer and innovator in enterprise software as we reimagine what we can deliver to customers as a leading infrastructure technology company. We look forward to VMware’s talented team joining Broadcom, further cultivating a shared culture of innovation and driving even greater value for our combined stakeholders, including both sets of shareholders.” 

Raghu Raghuram, Chief Executive Officer of VMware, said, “VMware has been reshaping the IT landscape for the past 24 years, helping our customers become digital businesses. We stand for innovation and unwavering support of our customers and their most important business operations and now we are extending our commitment to exceptional service and innovation by becoming the new software platform for Broadcom. Combining our assets and talented team with Broadcom’s existing enterprise software portfolio, all housed under the VMware brand, creates a remarkable enterprise software player. Collectively, we will deliver even more choice, value and innovation to customers, enabling them to thrive in this increasingly complex multi-cloud era.” 

Tom Krause, President of the Broadcom Software Group, said, “VMware has long been recognized for its enterprise software leadership, and through this transaction we will provide customers worldwide with the next generation of infrastructure software. VMware’s platform and Broadcom’s infrastructure software solutions address different but important enterprise needs, and the combined company will be able to serve them more effectively and securely. We have deep respect for VMware’s customer focus and innovation track record, and look forward to bringing together our two organizations.” 

Michael Dell, Chairman of the VMware Board, said, “Together with Broadcom, VMware will be even better positioned to deliver valuable, innovative solutions to even more of the world’s largest enterprises. This is a landmark moment for VMware and provides our shareholders and employees with the opportunity to participate in meaningful upside.”

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