Tidio Live Chat Software - Add Tidio live chat software to your website in minutes. Contact visitors and turn them into happy customers. Enhance their experience and boost your sales. Get it for Free

Must Read

Broadcom Inc announced a deal of $18.9 billion to buy CA Inc on Wednesday. The chipmaker is looking to venture far beyond its realm of semiconductors. Broadcom’s chips power smartphones, computers, and the like, whereas CA specializes in software, and they had been looking to expand their business. CA Technologies CEO Mike Gregoire to has been looking for a deal for some time.

Broadcom’s main business is becoming more competitive as major customers like Apple and Samsung look to consolidate supplier relationships and slash costs. This led to the pursuit of Qualcomm by Broadcom. Just four months back, US President Donald Trump blocked Broadcom’s $117 billion bid for Qualcomm Inc, stating that the company posed a security threat to the country. Since then, Broadcom has redomiciled from Singapore to the US which conveniently put them outside the purview of the Committee on Foreign Investment in the US.

Also Read

The new deal looks like a financial investment on Broadcom’s part and their acquisition of CA brought Broadcom shares down by 7%. RBC Capital Markets analyst Amit Daryanani wrote, “Investors will wrestle and try to gain comfort in (the) strategic rationale and its impact to capital allocation.” Broadcom will definitely benefit primarily from CA’s recurring revenue. Last year, Broadcom acquired Brocade Communications Systems for $5.5 billion.

The mainframes provided by Brocade is more or less same as CA’s but the Chief Financial Officer of Broadcom, Tom Krause defended the deal by pointing to the experience the company already has in selling networking gear to big business operating data centers.

What we do is buy mission-critical technology businesses. CA is a mission-critical technology. … We’ve been pretty impressed not only with (CA’s) management, but also the team that CA has built around these core franchises that we value. – Tom Krause, Chief Financial Officer Broadcom

Elegant Themes - The most popular WordPress theme in the world and the ultimate WordPress Page Builder. Get a 30-day money-back guarantee. Get it for Free

Analyst Kinngai Chan of Summit Insights Group said, “We believe this planned acquisition definitely will create some uneasiness amongst its current investor base.”

Broadcom will pay $44.50 per share in cash for CA. As of May 6, Broadcom’s debt stood at $17.5 billion.

Save up to 60% on OptinMonster

Stay updated

Subscribe to our newsletter and never miss an update on the latest tech, gaming, startup, how to guide, deals and more.

- Advertisement -
- Advertisement -


Grow Your Business

Place your brand in front of tech-savvy audience. Partner with us to build brand awareness, increase website traffic, generate qualified leads, and grow your business.

- Advertisement -

Grow Your Business

Get these business solutions, tools and services to help your business grow.

Elementor -Join 5,000,000+ Professionals Who Build Better Sites With Elementor. Build your website with 100% visual design that loads faster and speeds up the process of building them.

WP Rocket

WP Rocket - Speed up your website with the most powerful caching plugin in the world. The website speed increase means better SEO ranking, user experience, and conversation. It’s a fact that Google loves a fast site.


Kinsta - If you are looking for WordPress managed hosting, Kinsta is in the leading front. Kinsta provides WordPress hosting for a small or large business that helps take care of all your needs regarding your website with cutting-edge technology.


OptinMonster - Instantly boost leads and grow revenue with the #1 most powerful conversion optimization toolkit in the world. 700,000+ websites are using OptinMonster to turn their traffic into leads, subscribers, and sales.


- Advertisement -
- Advertisement -