The UK Competition and Markets Authority (CMA) has approved Hewlett Packard Enterprise (HPE)’s previously announced $14bn acquisition of network developer Juniper Networks. HPE offers open and intelligent technology solutions as a service while Juniper Networks delivers automation, security and AI solutions. The former’s offerings encompass cloud services, high-performance computing and AI, intelligent edge, software, and storage.
The British antitrust regulator’s clearance comes a week after the European Commission (EC) unconditionally granted approval for the merger. The EC, for its part, concluded that the merged entity’s market position would remain moderate as it related to the horizontal overlaps between the companies’ activities in WLAN equipment, WAPs, and Ethernet campus switches.
CMA waves Juniper Networks deal through
The UK antitrust enforcer’s phase 1 investigation was launched in June 2024. The regulator considered whether the proposed merger would create a relevant merger situation under the merger provisions of the Enterprise Act 2002. The CMA also investigated if the deal would lead to a significant reduction in competition within any market or markets in the UK for services or goods.
The CMA’s invitation to comment on the transaction from any interested party was closed on 3 July 2024. Announced earlier this year, the all-cash deal is aimed at enabling HPE to speed up AI-driven innovation. Under the terms of the agreement, shareholders of the New York Stock Exchange (NYSE)-listed Juniper Networks will receive $40 per share.
HPE acquisition intended to shore up AI credentials
Juniper Networks offers a portfolio of cloud-delivered networking solutions, software, and services, including the Mist AI and Cloud platform. These offerings assist organisations in securely and efficiently accessing the mission-critical cloud infrastructure that is essential for their digital and AI strategies.
In a separate announcement, HPE revealed the expansion of its security-first, AI-driven networking portfolio. It includes new network detection and response (NDR) capabilities based on behavioural analytics, delivered through HPE Aruba Networking Central. By leveraging telemetry from HPE Aruba Networking Central’s data lake, the new NDR solution will train and deploy AI models to monitor and identify unusual activity in vulnerable IoT devices, which are essential for mission-critical business processes.
Furthermore, HPE said it would strengthen its cloud-based universal ZTNA approach by broadening its reach to campus-based local area networks. The new local edge capability offers the same access control policies for the cloud directly to campuses and data centres.
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