Office of the Colorado Attorney General

09/05/2025 | Press release | Distributed by Public on 09/05/2025 12:58

Attorney General Phil Weiser opposes $14B HPE/Juniper Networks merger amid alleged corrupt DOJ approval process

Attorney General Phil Weiser opposes $14B HPE/Juniper Networks merger amid alleged corrupt DOJ approval process

Sept. 5, 2025 (DENVER) - Attorney General Phil Weiser today led a group of attorneys general in opposing the Justice Department's proposed settlement in the $14 billion HPE/Juniper Networks merger. The coalition of attorneys general also urged the judge overseeing the case to hold a hearing to determine if the merger is in the public interest and whether it was obtained through the kind of influence peddling that federal law intended to prevent.

In a letter to the Justice Department, the state attorneys general take issue with the department's approval of the merger (PDF) and say that the court should "examine the process that led to the Proposed Final Judgment in this case to uncover whether it has been terminally infected by precisely the type of backroom dealing the Tunney Act was intended to prevent."

The Tunney Act is a post-Watergate law enacted by Congress in 1974 to ensure that antitrust settlements reached by the Justice Department are based on the merits rather than undue influence by powerful corporations and their well-connected lobbyists. Under the law, the Justice Department must seek approval of all antitrust settlements from the courts, and the courts must make independent judgments that a settlement is in the public interest. The attorneys general, which enforce state and federal antitrust laws, argue that publicly available information about the process that led to the HPE/Juniper settlement suggests that the Justice Department has failed to meet that standard in this case.

According to public reports, the Justice Department trial staff working on the merger case, as well as senior leadership in the Antitrust Division, opposed the HPE settlement. But higher-level political appointees at the department were lobbied by individuals with close ties to the Trump administration. The chief of staff to the U.S. attorney general then allegedly pushed the settlement through over the objections of the Antitrust Division and in a manner that did not even address the anticompetitive harms alleged in the government's complaint. For example, the settlement merely requires HPE to divest a small business line that is largely irrelevant to the litigation. The merger will result in two firms-HPE and Cisco-controlling over 75% of the relevant market and may increase prices by up to 14%, according to the Justice Department's own court papers.

Two senior Antitrust Division attorneys appointed by President Trump's own administration were fired for opposing the settlement. One of the fired attorneys has spoken out publicly against the settlement and called it a "scandal" that represented the "Rule of Lobbyists" over the "Rule of Law."

"The U.S. Department of Justice's Antitrust Division must operate under the rule of law and decide antitrust cases based on principles applied equally to all companies-regardless of their political ties," said Attorney General Weiser. "The allegations made about this settlement, and the defects of this settlement on its face, call out for scrutiny. Thankfully, the Tunney Act was enacted for just this purpose and can achieve its goal of ensuring that sunlight provides 'the best of disinfectants.'"

The coalition of attorneys general are pressing the court to hold an evidentiary hearing and require discovery into the settlement and the alleged corrupt process that led to it. "And if, upon exposing the Settlement to sunlight, the evidence establishes that it was the product of undue influence, then the Court should reject it as against the public interest," the letter states.

Attorney General Weiser, who led the letter to the Justice Department, is joined by the attorneys general of Arizona, California, Connecticut, Delaware, Hawaii, Illinois, Maine, Maryland, Massachusetts, Michigan, Nevada, New Mexico, New York, North Carolina, Oregon, Rhode Island, Washington, Wisconsin, and the District of Columbia.

In a separate letter, Attorney General Weiser called on leaders of key U.S. House and Senate subcommittees to investigate the HPE/Juniper Networks merger (PDF) and "to hold hearings to examine this case to call attention to the importance of protecting impartial and fair merger review by the Antitrust Division."

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Media Contact: Lawrence Pacheco Chief Communications Officer (720) 508-6553 office [email protected]

Office of the Colorado Attorney General published this content on September 05, 2025, and is solely responsible for the information contained herein. Distributed via Public Technologies (PUBT), unedited and unaltered, on September 05, 2025 at 18:58 UTC. If you believe the information included in the content is inaccurate or outdated and requires editing or removal, please contact us at [email protected]