The U.S. Department of Justice (DOJ) has announced a settlement regarding the merger between Hewlett Packard Enterprise (HPE) and Juniper Networks, allowing the merger to continue under specific conditions. This settlement is seen as a strategic move by the DOJ to address unique challenges posed by mergers while ensuring compliance with antitrust laws.

Under the terms of the settlement, HPE is required to divest its Instant On business, which includes its global campus and branch WLAN operations. This divestiture encompasses all related assets, intellectual property, research and development personnel, and customer relationships. HPE must complete this divestiture to a buyer approved by the DOJ within 180 days.

Additionally, the agreement mandates that the merged entity must license critical software from Juniper to independent competitors. This includes an auction for the licensing of Juniper’s AI Ops for Mist source code, which is vital for modern WLAN systems. The licensing terms will be perpetual and non-exclusive, and may include transitional support and personnel transfers to enhance competition in the market.