Published: Tue, December 04, 2018
Finance | By Loren Pratt

Qualcomm won't revive NXP acquisition bid - Hardware

Qualcomm won't revive NXP acquisition bid - Hardware

A spokesperson for the company said: "Qualcomm considers the matter closed". It is important to note that both parties, Qualcomm and NXP, have already walked away from the deal.

Chinese President Xi Jinping indicated he's open to approving a renewed deal for Qualcomm to buy chip rival NXP in trade talks with President Donald Trump on Saturday evening, according to a statement issued by the White House. Qualcomm even paid a $2 billion penalty in July for breaking off the merger.

American chip maker Qualcomm could reconsider acquiring rival Dutch semiconductor maker NXP after China said they were open to approving the previously blocked deal at a meeting between the United States and China at the G20 summit in Argentina, even though the USA company has denied the possibility for now, said a Taipei-based analyst on Monday.

A recent study by Allied Market Research expects the global market for autonomous vehicles to be worth US$54.23 billion by 2019, increasing to US$556.67 billion by 2026 with a compound annual growth rate of about 40 per cent.


Kudlow also told reporters that a meeting with German carmakers this week was not meant to focus on possible tariffs, which Trump still held in his "quiver". "Which is a big thing".

Qualcomm first announced plans to acquire NXP, based in the Netherlands, in October 2016. Qualcomm cited China's cancellation of its regulatory application as one of the main reason why the deal did not push through.

Qualcomm shares closed up 1.5 percent at $59.14 (about Rs. 4,200) in NY on Monday, while NXP shares ended up 2.75 percent at $85.67 (around Rs. 6,000). The massive merger between Qualcomm and NXP have been approving in eight other jurisdictions.

Acquisitions of USA companies by Chinese companies, on the other hand, have been few and far between in the previous year, after the Committee on Foreign Investment in the United States (CFIUS), a government panel that scrutinizes deals for potential national security risks, shot down more of these deals, such as Ant Financial's plan to acquire U.S. money transfer company MoneyGram International. Due to trade tensions Chinese antitrust authorities originally withheld their approval of the Qualcomm-NXP deal, causing it to eventually fall through.

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