The British regulator is launching an investigation into the proposed acquisition of Juniper by HPE

The British Competition and Markets Authority (CMA) is investigating the acquisition of Juniper Networks by Hewlett Packard Enterprise (HPE) announced in January for a sum of 14 billion dollars (approximately 13 billion euros). The regulator wants to know whether the deal between the American companies complies with national regulations in the United Kingdom and does not unnecessarily disrupt market forces there.

It concerns a ask questions, a preliminary investigation that should be completed by August 14, according to Reuters. Before that date, the CMA will determine whether a more in-depth investigation is necessary. HPE’s acquisition of Juniper Networks aims to boost AI capabilities and double its networking business to avoid being left behind in the AI ​​race. Despite the CMA’s investigation, HPE expects to complete the planned acquisition in late 2024 or early 2025.

The takeover of market leader Juniper by another market leader (albeit partly in a different area) caused a lot of commotion. A shareholder sued Juniper, claiming that the company’s management misrepresented the facts surrounding the proposed acquisition.

Tip: HPE and Juniper target Cisco with network fabric

Missing like a diamond in the crown

The most obvious reason why HPE is interested in Juniper Networks is the presence of Mist in its portfolio. Mist Systems, as the company was known before its acquisition by Juniper in 2019, has had a major impact on Juniper. Before this acquisition, Juniper had no access points in its portfolio. Attempts to do so through partnerships with Ruckus, Aerohive and others were not particularly successful.

Mist’s management layer was indeed a lot more modern than what players such as Aruba but also Cisco (Catalyst and Meraki) could offer. In particular, the platform built on microservices has already come a long way in deploying AI in this environment. Thanks to AIOps, it is possible to set up, manage and generally operate (large) networks much more efficiently.

Also read: HPE acquires Juniper: surprising, but logical

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