Broadcom To Scrap Qualcomm Bid After Trump Block

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Now, though, that's all a moot point, following an order from President Trump blocking the proposed takeover.

"Although we are disappointed with this outcome, Broadcom will comply", the company said in a statement Wednesday, bringing to an official end a months-long battle to land the technology industry's biggest ever deal.

President Donald Trump ordered the Singapore-based company Broadcom to cease its attempts to buy the United States company Qualcomm, for which it had launched a hostile takeover of 117 billion dollars.

The Singapore-based company also withdrew its list of directors that were nominated for election to Qualcomm's board.

Trump's order echoed that concern, saying a takeover by Broadcom "threatens to impair the national security of the United States".

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Unsurprisingly, Broadcom expresses its disappointment with its inability to proceed, but nevertheless acquiesces to the order.

What was shaping up, was a potentially hostile takeover with Broadcom aiming to influence Qualcomm's board of directors.

"The proposed absorption of Qualcomm is prohibited, and any merger, acquisition or substantially similar absorption, whether direct or indirect, is also prohibited", Trump said in a presidential order.

Broadcom had planned to move its headquarters from Singapore to the United States on April 3, one month before the date it had announced as part of the agreement to buy Qualcomm.

Although Broadcom is incorporated and based in Singapore, CEO Hock Tan announced late a year ago while visiting Trump at the White House that the company would return its corporate headquarters to the United States, likely using San Jose as a base. So much so, that Intel was rumored to be looking into acquiring Broadcom to prevent the Qualcomm deal. He blocked the deal just hours after speaking with Hock Tan, Broadcom's CEO at the Pentagon, who was trying to save the deal.

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