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Qualcomm turns down $130 billion offer from Broadcom

by Justin Herrick | November 13, 2017

Qualcomm believes it’s worth more than $130 billion, which is the value of the offer submitted by Broadcom last week. The two companies in the semiconductor and telecommunications businesses recently made headlines as Broadcom put forward a record-breaking agreement to absorb one of its competitors.

If Broadcom was able to acquire Qualcomm, it’d become one of the world’s largest chipmakers behind just Intel and Samsung. Qualcomm, though, isn’t interested in the unsolicited offer.

Here’s part of the statement from Qualcomm’s Board of directors:

“It is the Board’s unanimous belief that Broadcom’s proposal significantly undervalues Qualcomm relative to the Company’s leadership position in mobile technology and our future growth aspects.”

It goes on to say that, within the semiconductor industry, there’s no company prepared for the future than itself. Qualcomm’s been investing heavily in mobile, Internet of Things, edge computing, and networking. On top of that, the company is working hard to transition carriers from 4G to 5G technology.

As the company hypes itself on future prospects, it seems clear that Qualcomm would likely listen to Broadcom if the offer is even higher.

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Justin Herrick

Justin is easily attracted to power buttons. His interest in technology started as a child in the 1990s with the original PlayStation, and two...Justin is easily attracted to power buttons. His interest in technology started as a child in the 1990s with the original PlayStation, and two...