WASHINGTON (Reuters) -The U.S. Federal Trade Commission said on Wednesday it will require two software companies —Synopsys and Ansys— to divest certain assets to resolve antitrust concerns surrounding their $35 billion merger. The proposed divestiture will preserve competition across several software tool markets that are critical for the design of semiconductors and light simulation devices, […]
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US FTC will require Synopsys, Ansys to divest certain assets to resolve merger concerns
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WASHINGTON (Reuters) -The U.S. Federal Trade Commission said on Wednesday it will require two software companies —Synopsys and Ansys— to divest certain assets to resolve antitrust concerns surrounding their $35 billion merger.
The proposed divestiture will preserve competition across several software tool markets that are critical for the design of semiconductors and light simulation devices, according to the commission.
The FTC added that it will help protect consumers from higher input prices for cars, phones and other items.
Synopsys is a leading developer and supplier used to design semiconductors, while Ansys provides simulation software tools used for testing products including semiconductors.
During an earnings call earlier on Wednesday, Synopsys CEO Sassine Ghazi said the company has regulatory clearances in all jurisdictions excluding China.
“We are working cooperatively and actively negotiating … to secure China regulatory clearance and we continue to anticipate closing in the first half of this year,” Ghazi said.
(Reporting by Jasper Ward; editing by Costas Pitas)