Trump pressure scuppers $140bn chipmaker takeover

Trump pressure scuppers $140bn chipmaker takeover

Broadcom has abandoned its $140bn bid for Qualcomm two days after it was blocked by President Trump.

The White House said there was “credible evidence” that the bid by Singapore-based chip maker Broadcom may impair the national security of the United States”.

The deal would have been the world’s biggest technology takeover.

Combining the two firms would create the world’s third-largest microchip maker, after Intel and Samsung.

Qualcomm had already rejected the offer in November, saying it “dramatically undervalued” the company.

Broadcomm said that it was still in the process of moving its base back to the US, which would make it easier to make acquisitions there without falling foul of American rules on foreign investment.

Source: BBC News

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