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Broadcom’s Acquisition of VMware Leads to Job Cuts

Broadcom, a global technology leader, has finalised its acquisition of VMware, a move first announced in May 2022.

The deal, valued at $61 billion with an additional $8 billion in net debt, received the necessary regulatory approvals, including from China, the US, and the UK, culminating on November 22.

Following the acquisition, some VMware employees were informed on Monday that their positions were being eliminated.

This decision was communicated via an email, which stated that the redundancies were part of an “organisational needs assessment” post-acquisition.

The email expressed regret over the job cuts, assuring affected employees of a generous severance package and a paid non-working notice period.

The exact number of affected employees remains uncertain as Broadcom has yet to comment on the matter.

As of February, VMware had over 38,000 employees, with some already facing job cuts before the acquisition’s closure.

In September, VMware had informed its staff about potential job offers from Broadcom, transitional roles, or severance packages.

There’s speculation among VMware employees about possible spin-offs of certain units. The past year also saw the departure of several top executives from VMware.

Concerns about a potential culture clash with Broadcom have been voiced by employees, especially regarding Broadcom’s office return policy. The acquisition’s progress had reportedly caused some clients to delay deals, awaiting clarity on VMware’s future.

* Original content written by Coinlive. Coinbold is licensed to distribute this content by Coinlive.