The European Union is poised to issue a warning to Broadcom over its proposed purchase of VMware for $61 billion.

Broadcom announced a deal to acquire VMware for $61 billion in May 2022. The deal came as a shock to many, including many VMware employees who were not happy with the prospect of joining Broadcom.

Regulators have expressed concerns about the deal, with the EU Commission opening an investigation in December, after UK regulators took a similar step in November.

According to Reuters, the EU is now preparing to issue a warning to Broadcom over the proposed deal. This will give the two companies an opportunity to address concerns and offer potential remedies, although the outlet’s sources say Broadcom has no intention of preemptively offering remedies before seeing the charges in the warning.