Qualcomm rejects Broadcom’s initial $105 billion takeover offer

Last week, Broadcom made an unsolicited offer to buy Qualcomm, one of the biggest SoC and cellular modem manufacturers for smartphones. Qualcomm officially rejected the initial bid today, which was for $105 billion (it was originally reported to be around $130 billion). When reports first surfaced about the offer, it was known that Qualcomm wasn’t happy with the deal. In a statement released today, Qualcomm’s board say the offer “significantly undervalues” the company.

“No company is better positioned in mobile, IoT, automotive, edge computing and networking within the semiconductor industry,” Qualcomm CEO Steve Mollenkopf said in the statement. “We are confident in our ability to create significant additional value for our stockholders as we continue our growth in these attractive segments and lead the transition to 5G.”

Broadcom “remains fully committed” to the acquisition and said in its own statement that combining the two companies would create “a strong, global company with an impressive portfolio of industry-leading technologies and products.”