Broadcom To Layoff 1,300 VMware Employees Following Acquisition

Broadcom, a Silicon Valley chipmaker with a six-decade history, is laying off over a thousand workers after completing a blockbuster acquisition of cloud technology company VMware.

Broadcom will lay off approximately 1,300 employees at VMware's Palo Alto campus beginning in January 2024, according to a WARN notice filed earlier this week by company vice president Jill Turner. The full scope of the layoffs is unknown.

Broadcom announced the $69 billion acquisition of VMware, which was completed earlier this month after receiving key regulatory approval in China. As part of the agreement, Broadcom will relocate to the 100-acre VMware campus, which has been mostly idle due to the company's flexible work policies.

However, integrating VMware's 30,000-plus employees into the larger picture may prove difficult for the chipmaker. Business Insider reported internal discontent among VMware employees in the months following the deal's announcement, many of whom were concerned about its new owners' cost-cutting and push to end VMware's long-standing remote work policy.

The deal's ramifications appear to have reached VMware's top management. The departure of company president Sumit Dhawan was announced a day after the layoff notice was filed, making him the latest high-level VMware departure following the departure of three senior vice presidents around this time last year.