U.S. chipmaker, Broadcom (NASDAQ: AVGO) inches up in pre session on Friday after the corporation will aim to persuade EU antitrust regulators that its proposed $61 billion deal for VMware, which has sparked regulatory scrutiny on both sides of the Atlantic, is pro-competitive.
In a confidential session, the business will submit its views to top European Commission officials, their colleagues from national competition agencies, and EU executive lawyers.
Broadcom’s request for a hearing comes after the Commission cautioned last month that the transaction might limit competition in the market for certain hardware components that work with VMware’s software.
Other sources familiar with the situation told Reuters last year that the business anticipated regulators would view the existence of Amazon, Microsoft, and Google in the cloud computing sector as evidence of fierce competition.
Following the oral hearing, Broadcom is anticipated to submit remedies in the following days. The EU decision date is June 21, which will be extended if concessions are offered.
Broadcom (NASDAQ:AVGO) Unveils AI Network Fabric
Broadcom Inc. (NASDAQ:AVGO) announced the release of Jericho3-AI, a high-performance fabric for artificial intelligence (AI) networks. Jericho3-AI transforms AI networking with best-in-class characteristics including perfect load balancing, congestion-free operation, ultra-high radix, and Zero-Impact Failover, all of which result in much faster task completion times for any AI workload.
Jericho3-AI enters the market at a time when the application of AI is on the rise. According to a recent International Data Corporation (IDC) prediction, worldwide AI investment would reach $154 billion in 2023 and $300 billion or more by 2026. The amount for 2023 indicates a 26.9 percent increase over the figure for 2022.
“The benchmark for AI networking is reducing the time and effort it takes to complete the training and inference of large-scale AI models,” said Ram Velaga, senior vice president and general manager of Broadcom’s Core Switching Group. “When compared to any other market alternative, Jericho3-AI significantly reduces job completion time.”
