US Justice Department settles antitrust case for HPE's $14 billion takeover of Juniper
By Rishabh Jaiswal
The U.S. Justice Department has settled its lawsuit challenging server maker
Hewlett Packard Enterprise
's all-cash
acquisition
of
Juniper Networks
for $14 billion, according to court filings.
The settlement requires the combined company to divest HPE's Instant On wireless networking business and license the source code for Juniper's
Mist AI software
used in Juniper's WLAN (Wireless Local Area Network) products.
The joint settlement, filed late on Friday, requires approval by a judge and would avoid the need for a trial scheduled for July 9.
In a joint statement, HPE and Juniper said the agreement resolves the Justice Department's concerns and clears the way for the transaction to close.
HPE CEO Antonio Neri said the deal would offer customers a "modern network architecture alternative" tailored for AI workloads.
The Justice Department did not immediately respond to a Reuters request for comment outside business hours. The department sued to block the deal in January, arguing that it would stifle competition and lead to only two companies -
Cisco Systems
and HPE - controlling more than 70% of the U.S. market for networking equipment. In February, Juniper denied the government's allegations, saying in a filing that the complaint did not correctly represent the market dynamics for wireless network solutions and the companies' rationale for the deal.
HPE said more than a year ago that it would acquire Juniper, as it looks to spruce up its artificial intelligence offerings.
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Time of India
12 hours ago
- Time of India
US Justice Department settles antitrust case for HPE's $14 billion takeover of Juniper
By Rishabh Jaiswal The U.S. Justice Department has settled its lawsuit challenging server maker Hewlett Packard Enterprise 's all-cash acquisition of Juniper Networks for $14 billion, according to court filings. The settlement requires the combined company to divest HPE's Instant On wireless networking business and license the source code for Juniper's Mist AI software used in Juniper's WLAN (Wireless Local Area Network) products. The joint settlement, filed late on Friday, requires approval by a judge and would avoid the need for a trial scheduled for July 9. In a joint statement, HPE and Juniper said the agreement resolves the Justice Department's concerns and clears the way for the transaction to close. HPE CEO Antonio Neri said the deal would offer customers a "modern network architecture alternative" tailored for AI workloads. The Justice Department did not immediately respond to a Reuters request for comment outside business hours. The department sued to block the deal in January, arguing that it would stifle competition and lead to only two companies - Cisco Systems and HPE - controlling more than 70% of the U.S. market for networking equipment. In February, Juniper denied the government's allegations, saying in a filing that the complaint did not correctly represent the market dynamics for wireless network solutions and the companies' rationale for the deal. HPE said more than a year ago that it would acquire Juniper, as it looks to spruce up its artificial intelligence offerings.
Hindustan Times
a day ago
- Hindustan Times
Department of Justice settles with HPE and Juniper Networks: What you need to know
The Department of Justice has reached a settlement in its lawsuit that challenged server maker Hewlett-Packard Enterprise's takeover of Juniper Networks for $14 billion, as per court filings. This comes when a trial was set to start in the matter in less than two weeks, Bloomberg reported. In an official release, the US Justice Department stated that it advised the court that a settlement was made with the two companies, adding that it allows their merger to continue. The Department of Justice has settled its lawsuit against Hewlett-Packard Enterprise's $14 billion acquisition of Juniper Networks. Photographer: Ian Maule/Bloomberg(Bloomberg) Gail Slater, Assistant Attorney General for the Antitrust Division, has thanked all from the department for their work on the case. Department of Justice Chief of Staff Chad Mizelle dubbed it "another key legal victory" for the division. "Our attorneys will continue fighting and winning to defend the American people and consumers,' Mizelle added. Also Read: Iran reopens central and western airspace after ceasefire with Israel: What does this mean for international flights? HPE, Juniper Networks reach settlement with Justice Department As part of the settlement, the combined company is required to divest HPE's Instant On wireless networking business as well as license the source code for Mist AI software of Juniper Networks. This is used in the company's Wireless Local Area Network (WLAN) products. The joint settlement was filed late Friday night and is now seeking the approval of a judge. This could avoid the matter going to court for the scheduled trial on July 9. A joint statement from the two companies stated that Hewlett Packard Enterprise had on January 9, 2024, announced the agreement to acquire Juniper in "an all-cash transaction". This was made for $40 per share, which represented the equity value of nearly $14 billion. They said that the agreement has now cleared the way for the transaction to close as it has resolved the concerns of the US Justice Department. Antonio Neri, president and CEO of HPE, said the agreement creates "greater competition in the global networking market,' besides offering customers a "modern network architecture alternative" to support the demands of AI workloads. The department filed a complaint against the deal in the federal court in late January 2025. It claimed that the deal would stifle competition, thus paving the way for only two companies, Cisco Systems and HPE, to control over 70 per cent of the US market for networking equipment, according to Reuters. A few weeks later, Juniper denied these allegations, stating that it failed to correctly represent the market dynamics for wireless network solutions. FAQs 1. When and where was the trial set to take place in the matter? It was scheduled to start on July 9 in San Jose, California. 2. What does the Justice Department's settlement mean for HPE and Juniper? This allows their merger to continue. 3. What's the merger deal? In January last year, HPE said that an agreement was reached to acquire Juniper in an all-cash transaction for nearly $14 billion.
Time of India
a day ago
- Time of India
US DOJ settles antitrust case for HPE's $14 billion takeover of Juniper
Academy Empower your mind, elevate your skills The US Department of Justice has settled its lawsuit challenging server maker Hewlett Packard Enterprise 's all-cash acquisition of Juniper Networks for $14 billion, according to court settlement requires the combined company to divest HPE's Instant On wireless networking business and license the source code for Juniper 's Mist AI software used in Juniper's WLAN (Wireless Local Area Network) joint settlement, filed late on Friday, requires approval by a judge and would avoid the need for a trial scheduled for July Department of Justice (DOJ), HPE and Juniper did not immediately respond to a Reuters request for comment outside business DOJ sued to block the deal in January, arguing that it would stifle competition and lead to only two companies - Cisco Systems and HPE - controlling more than 70% of the US market for networking February, Juniper denied the DOJ's allegations, saying in a filing that the complaint does not correctly represent the market dynamics for wireless network solutions and the companies' rationale for the said more than a year ago that it would acquire Juniper, as it looks to spruce up its artificial intelligence offerings.
