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Broadcom's Plunge Following Its Deal for CA Looks a Little Excessive

Eric Jhonsa

Topping the list of reasons why Broadcom tumbled: CA is a large enterprise software company with a very broad and diverse product lineup. Naturally, there are concerns about how well such a company will perform as a subsidiary of Broadcom, a chip and hardware supplier that has never owned a major software firm before. As well as about how much Broadcom's existing operations could be impacted as CEO Hock Tan and the rest of Broadcom's management devotes time and resources towards bringing CA into the fold.