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Comment: Red Hat rival may gain traction as EU opens IBM review

By James Pressley and Nicholas Hirst ( May 23, 2019, 15:46 GMT | Comment) -- IBM’s formal request for EU approval to buy Red Hat poses at least one tricky question: Could IBM use its power in the cloud-computing business to curb competition in a neighboring software niche, as alleged by a rival? EU case handlers have scrutinized such “conglomerate effects” in past mergers, including Microsoft’s acquisition of LinkedIn. But it’s unclear whether that track record will help cloud specialist Nutanix, which says the merger could cut consumer choice and innovation.Red Hat’s takeover by International Business Machines presents EU merger officials with at least one tricky question: Could IBM use its power and reach in the cloud-computing business to curb competition in a neighboring open-source software niche, as alleged by a rival?...

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