Broadcom Wants To Buy Qualcomm For US $100 Billion
In what might be one of the most sensational deals in the tech industry, Broadcom is interested in buying Qualcomm. According to a report, Broadcom is currently in talks with advisers on how to best approach the potential bid, which is likely to be made official by the end of 2017. However, it is an iffy situation right now and sources from the company have said that Broadcom might even not go ahead with it if the pieces don’t fall into place.
Qualcomm is the largest maker of modems while Broadcom is the industry leader in terms of WiFi chips. A deal between the two companies would consolidate their stand in the industry and put them in a better position to negotiate with the likes of Samsung and Apple.
The sensational US $100 billion bid, if made, will not guarantee the deal. Qualcomm is not in a strong legal position right now considering a number of legal battles the company is embroiled in. Qualcomm is in the midst of a legal dispute with Apple, with the dispute having started in January when Apple sued Qualcomm for US$1 billion. Qualcomm countersued the American tech giant, Apple in April, sought injunctions to halt iPhone sales in the US and China, and filed a lawsuit over copyright infringement.
The legal battle for Qualcomm doesn’t end here, it recently sued Apple again for leaking software information to rival chip-maker, Intel. Qualcomm further said that it has proof of such a leak and that Apple has breached their contract by not allowing Qualcomm to audit its software handling by Apple.
It is yet to be seen if Qualcomm will indulge in a US $100 billion takeover considering its legal woes but, if it does happen, it will be the biggest ever takeover of a chip maker in the world.
