SoylentNews

"gewg_" writes:

The Orange County Register reports

Irvine chipmaker Broadcom Corp. will be purchased by Singapore-based Avago Technologies Ltd. for $37 billion, making the deal the biggest technology acquisition ever.

The two companies said they expected the deal to produce $750 million in savings over the first 18 months of their union. The new company will take Broadcom's name, Avago's CEO, Hock Tan, will retain his leading role in the newly combined enterprise.

[...] The purchase of Broadcom, the biggest maker of Wi-Fi chips for short-range connections in mobile devices, will create the world's sixth-largest chipmaker in terms of revenue. The deal is the latest in a round of consolidation in the $300 billion industry as the rising costs of production and design push manufacturers to combine.

[...] Broadcom is closing its unit that makes modem chips for mobile phones. That is reducing losses and expenses in a business that failed to gain significant market share from Qualcomm Inc.

Have any Soylentils had dealings with Avago which indicate that (notoriously closed) Broadcom will now become more open?

Broadcom Considering Unsolicited $105 Billion Bid to Acquire Qualcomm

takyon writes:

Broadcom is deciding whether to proceed with the largest-ever attempted acquisition of a chipmaker:

Broadcom Ltd. is considering a bid of more than $100 billion for Qualcomm Inc., according to people familiar with the matter, in what would be the biggest-ever takeover of a chipmaker. Broadcom is speaking to advisers about the potential deal, said the people, who asked not to be identified because talks are private. The offer of about $70 a share would include cash and stock and is likely to be made in the coming days, the people said. A final decision on whether to proceed has not been made, they said.

[...] Qualcomm finds itself in a weakened state. A legal battle with Apple is costing revenue and jeopardizing a business model that for years made Qualcomm one of the most successful chipmakers. Before today, its shares had slumped 16 percent this year, compared with a 41 percent surge in the Philadelphia Semiconductor Index. A change of management at Qualcomm might help resolve the dispute with Apple more quickly, and thereby make Qualcomm's licensing and chip businesses more valuable, according to Sanford C. Bernstein & Co. analyst Stacy Rasgon. Earlier this week, Qualcomm executives said the legal process would "proceed under the court's schedule," indicating no resolution soon.

takyon writes:

Broadcom has moved back to the U.S. from Singapore, which could allow it to circumvent the mighty power of the Committee on Foreign Investment in the United States (CFIUS), which blocked its takeover attempt of Qualcomm last month. The company's co-headquarters in San Jose, California will become the sole headquarters of the redomiciled company:

Broadcom said on Wednesday it had completed its move back to the United States from Singapore, weeks after President Donald Trump blocked its $117 billion offer to buy Qualcomm on national security grounds.

Broadcom, which was a U.S. company until it was bought in 2016 by Singapore's Avago, had announced its plan to redomicile on Nov. 2, days before making its first offer for Qualcomm.

[...] The move to the United States could allow Broadcom to buy U.S. companies without coming under the scrutiny of the Committee on Foreign Investment in the United States (CFIUS), which has the power to stop deals that could harm national security.