Computer chip maker Broadcom announced Thursday that the company will buy software group VMware for $61 billion, roughly 600 billion crowns.
The acquisition is one of the largest ever in the tech sector. They also include Broadcom, which has taken on more than $8 billion in debt from VMware.
Broadcom designs and manufactures computer chips and is one of the world’s largest computer chips in its field, while VMware provides software and is among the world’s largest players in cloud storage. According to a statement from the company, Broadcom wants a stronger market position for cloud storage.
VMware’s largest owner and president is Michael Dell, founder of Dell Technologies. He alone owns about 40 percent, and in conjunction with investment fund Silver Lake, which owns 10 percent of the company, agreed to the acquisition.
The boards of the two companies approved the acquisition, which will be completed during the 2023 fiscal year.
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