DOJ Settles Antitrust Case Clearing $14B HPE-Juniper Deal

The U.S. Department of Justice has settled its antitrust lawsuit challenging Hewlett Packard Enterprise's $14 billion acquisition of Juniper Networks, clearing the way for the deal to close pending court approval. As part of the settlement, HPE must divest its Instant On wireless networking business and license the source code for Juniper's Mist AI software used in wireless LAN products, addressing DOJ concerns about reduced competition. DOJ had argued the merger would eliminate significant competition, leaving Cisco and HPE controlling over 70% of the U.S. networking equipment market, while Juniper disputed these claims. HPE and Juniper executives emphasized that the combined company will provide customers with a modern, AI-native networking portfolio to support AI workloads and hybrid cloud environments, enhancing competition in the global networking market. The settlement averted a scheduled July trial and was described by HPE’s CEO as preserving the deal's benefits for customers and shareholders while promoting innovation. This resolution signals an important shift in the networking industry, positioning HPE and Juniper as a stronger alternative to Cisco in AI-driven networking solutions.