(Reuters) – Juniper Networks (JNPR) denied the allegations by the U.S. Division of Justice, after the company sued to dam Hewlett Packard Enterprise’s (HPE) $14 billion all-cash takeover of the networking gear maker, based on a court docket submitting.
Final month, the DOJ argued in its criticism that the proposed deal would stifle competitors and result in Cisco Methods and HPE controlling greater than 70% of the U.S. marketplace for networking tools.
The criticism doesn’t accurately characterize the market dynamics for wi-fi community options and the businesses’ rationale for the deal, Juniper mentioned in a submitting made to a federal court docket in California on Monday.
There are greater than eight firms providing wi-fi networking options within the U.S., apart from Juniper and HPE, it mentioned.
Cisco has had greater than 50% of the marketplace for the previous 10 years, whereas HPE and Juniper have had a mixed share of lower than 25% during the last three years, based on the submitting.
The mixed market share of HPE and Juniper are decrease than a stage that might enable the DOJ to presume the deal as unlawful, it mentioned.
The deal, introduced greater than a yr in the past, would increase competitors towards Cisco, Juniper mentioned.
The DOJ’s antitrust lawsuit marks the primary since President Donald Trump’s second time period in workplace.
(Reporting by Akash Sriram in Bengaluru; Modifying by Shilpi Majumdar)
(Reuters) – Juniper Networks (JNPR) denied the allegations by the U.S. Division of Justice, after the company sued to dam Hewlett Packard Enterprise’s (HPE) $14 billion all-cash takeover of the networking gear maker, based on a court docket submitting.
Final month, the DOJ argued in its criticism that the proposed deal would stifle competitors and result in Cisco Methods and HPE controlling greater than 70% of the U.S. marketplace for networking tools.
The criticism doesn’t accurately characterize the market dynamics for wi-fi community options and the businesses’ rationale for the deal, Juniper mentioned in a submitting made to a federal court docket in California on Monday.
There are greater than eight firms providing wi-fi networking options within the U.S., apart from Juniper and HPE, it mentioned.
Cisco has had greater than 50% of the marketplace for the previous 10 years, whereas HPE and Juniper have had a mixed share of lower than 25% during the last three years, based on the submitting.
The mixed market share of HPE and Juniper are decrease than a stage that might enable the DOJ to presume the deal as unlawful, it mentioned.
The deal, introduced greater than a yr in the past, would increase competitors towards Cisco, Juniper mentioned.
The DOJ’s antitrust lawsuit marks the primary since President Donald Trump’s second time period in workplace.
(Reporting by Akash Sriram in Bengaluru; Modifying by Shilpi Majumdar)
