Broadcom to acquire Qualcomm – the largest takeover ever

Qualcomm’s rival Broadcom will reportedly acquire Qualcomm soon marking it as the biggest takeover of a chipmaker ever.

Ever since the news came out, Qualcomm Inc. stock has seen a $7 increase as it is now selling for $61.81. Its current net worth is $91 billion and on a continuous rise since the news broke. The chipmaker giant, Broadcom Ltd. is all set to spend over $100 billion in order to acquire Qualcomm, as per reports.

According to Bloomberg, Qualcomm is preparing to avoid the unwelcoming $100 billion takeover bid from its rival saying that it underrates the organization. Broadcom however, is preparing a $70-a-share offer for Qualcomm, which will be the largest-ever technology acquisition, reported people who wished to remain anonymous.

Apple slams Qualcomm suit seeking iPhone ban in China

Qualcomm is already going through numerous legal clashes with Apple that led to 90% drops in its profits. After its loss, the company exclaimed, “The reason that we’re pursuing this is that Qualcomm‘s trying to charge Apple a percentage of the total iPhone value, and they do some really great work around standards-essential patents, but it’s one small part of what an iPhone is.”

Apple in turn, planned to no longer use Qualcomm’s chips in its upcoming phones, a move which will drop Qualcomm’s value even more. Yet, Broadcom aims to acquire the company.

Qualcomm has not yet commented on the report; however, Financial Times mentioned that insiders assert that the company would ‘prefer’ remaining independent. Broadcom too, has not yet validated anything regarding this matter.