A significant development has occurred regarding the planned acquisition of Spirent Communications. Regulatory authorities in the United States, specifically the Department of Justice (DOJ), have mandated a crucial step to address potential antitrust concerns.
To gain approval for the overall transaction, Keysight Technologies has been ordered to divest certain parts of Spirent’s business. These specific business units are primarily involved in providing certain types of network and IT security testing solutions, as well as particular emulation products. The aim of this divestiture is to ensure that competition remains robust in these critical markets.
The agreement stipulates that these divested assets will be acquired by VIAVI Solutions Inc. This move is intended to preserve a competitive landscape following the main acquisition, allowing the broader integration of Keysight and Spirent to proceed while satisfying regulatory requirements focused on preventing market concentration. This action highlights the close scrutiny major technology mergers face regarding their impact on market dynamics and consumer choice.
Source: https://www.datacenterdynamics.com/en/news/us-doj-orders-keysight-to-divest-spirent-units-to-viavi/
