Yazılar

Democratic AGs Urge Court to Reconsider DOJ Settlement in $14B HPE-Juniper Deal

/in /tarafından

A coalition of 20 Democratic attorneys general, led by Colorado’s Phil Weiser, is urging a federal court to scrutinize and potentially reject the U.S. Department of Justice’s settlement that cleared Hewlett-Packard Enterprise’s $14 billion acquisition of Juniper Networks.

In a letter filed Friday, the AGs argued the court must examine whether the DOJ’s decision was tainted by “undue influence” from politically connected lobbyists. “If… the evidence establishes that it was the product of undue influence, then the court should reject it as against the public interest,” Weiser wrote.

The DOJ initially sued to block the merger in January, shortly after Trump took office, citing antitrust concerns that the deal would leave HPE and Cisco controlling over 70% of the U.S. networking equipment market. But just before trial in June, the DOJ reversed course, dropping its case in exchange for HPE agreeing to license Juniper’s AI technology and divest a unit serving small and mid-sized businesses.

That reversal has fueled controversy. Two DOJ antitrust officials who approved the settlement were later fired, in what sources described as retaliation against division head Gail Slater for resisting political pressure to settle. Former DOJ official Roger Alford, one of those dismissed, later accused leadership of having “perverted justice” to favor HPE.

The AGs want the court to hear testimony from Alford and other DOJ staff, as well as consultants tied to HPE, before finalizing approval. The push sets up another flashpoint in the broader debate over antitrust enforcement and political interference in major tech-sector mergers.

Cisco Forecasts Strong Q1 Revenue as AI Drives Networking Demand

/in /tarafından

Cisco Systems expects first-quarter revenue between $14.65 billion and $14.85 billion, exceeding Wall Street estimates, fueled by surging demand for networking equipment driven by artificial intelligence. Hyperscale cloud and enterprise AI investments are boosting orders, with Cisco reporting over $2 billion in AI infrastructure sales for fiscal 2025, more than double its target. Networking product orders rose in double digits across webscale infrastructure, enterprise routing, switching, industrial IoT, and servers. Cisco is also partnering with state-backed AI initiatives in Saudi Arabia and Bahrain. CEO Chuck Robbins expects AI-driven opportunities to further expand in fiscal 2026.

US DOJ Sues to Block Hewlett Packard Enterprise’s $14 Billion Juniper Deal

/in /tarafından

The U.S. Department of Justice (DOJ) has filed a lawsuit to block Hewlett Packard Enterprise’s (HPE) $14 billion acquisition of Juniper Networks, arguing that the deal would reduce competition in the networking equipment market. According to the complaint, the merger would result in just two companies—HPE and Cisco Systems—controlling more than 70% of the U.S. market for networking gear.

Shares of both HPE and Juniper Networks fell by about 2% following the announcement. This antitrust lawsuit is the first to be filed under the current administration.

In response, the companies argue that the deal will not harm competition, claiming that it would bring together two complementary networking solutions that can better compete with established global players. They also pointed to Juniper’s innovations, which have driven HPE to lower its prices and invest more in innovation.

The DOJ’s complaint specifically noted that Juniper’s competitive pressures have forced HPE to offer discounts and develop new features to maintain market relevance. The companies are prepared to defend the merger in court, with pretrial and trial proceedings expected to take place over the next eight months, before the deal’s walk-away date in October.

While the DOJ moves forward with its challenge, both the UK’s Competition and Markets Authority and the European Union have already approved the acquisition.