Honestly don’t see the “strategic play” here. Anyone care to take a shot at explaining? https://techcrunch.com/2018/07/11/broadcom-acquires-ca-technologies-for-18-9b-in-cash/
Good time to get the stock on this dip.
Wall Street can’t see the strategic benefit either which is why stock fell 15%
That's why time to buy..
Well, everyone at CA are scratching their heads about this one. Why do they want us ? What for? Half of our business is still mainframe, some of our best software has NOTHING to do with any of their hardware(security/ devops) . It cannot be they just want stuff like spectrum, APM or Nimsoft.
But the bonus on the stock options is nice
It’s a head scratcher
Hardware is a dieing business and now is a good time for diversifying by getting into software and services. It helps further if the software and services business is part of the same supply chain that parent company is and upstream. Having stronger position upstream (closer to end user) will strengthen their bargaining (selling) power. This is not specific to tech field but most to all industry where there is a long supply chain.
Vertical integration is a thing.