Trump issued on Monday an order barring the proposed mega-acquisition, saying there is credible evidence such a deal "threatens to impair the national security of the United States", according to a White House statement.
The CFIUS had concluded that Broadcom's proposed takeover of Qualcomm could pose a risk to the national security of the USA, the Treasury Department said in a letter last week. It added that "given well-known US national security concerns about Huawei and other Chinese telecommunications companies, a shift to Chinese dominance in 5G would have substantial negative national security consequences for the U.S".
The Trump administration nevertheless balked at the prospect of a prominent USA chipmaker being owned by a foreign company, particularly at a time countries around the world are gearing up to build ultra-fast "5G" mobile networks that could tip the balance of power in technology. Qualcomm quickly spurned its unsolicited suitor and continued to resist even after Broadcom raised its original offer from $103 billion. Qualcomm said that Broadcom was fundamentally underestimating the company's value.
Broadcom has been trying to acquire chipmaker Qualcom for several months now.
'Avengers: Infinity War' Trailer: "Avengers Assemble!"
We have seen in the first Guardians Of The Galaxy film that Gamora hates Thanos , who is her father. In fact, in the shot, we see Iron Man's suit all destroyed and him panting for breath.
However, at the end of the day, the White House cited national security reasons in scuttling the deal, namely not wanting Qualcomm to become a foreign-owned company.
Trump's order came after a government panel tasked with reviewing the national security implications for business deals disclosed serious concerns about the bid.
Broadcom is based in Singapore, and Qualcomm is based in San Diego, California.
In its announcement today about the earlier redomiciliation date, Broadcom said it had always planned to complete the move ahead of a planned merger with Qualcomm. "China has a finely honed capability to access the technology of companies such as Broadcom, along with that of their subsidiaries and acquisitions", he said.
Toys 'R' Us gift cards good for only next 30 days
Brandon said in a filing last fall that the bankruptcy process would allow it to invest $65 million in its stores. The company's US online store would still be running for the next couple of weeks in case there's a buyer for it.
"Broadcom's Board of Directors and management team sincerely appreciate the significant support we received from the Qualcomm and Broadcom stockholders throughout this process", the company said in a statement.
As such, Broadcom and Qualcomm "shall immediately and permanently abandon the proposed takeover", ordered the US President. The "national security" defense used to deflect the hostile takeover may turn out to be a double-edged sword.
Broadcom had planned to move its headquarters from Singapore to the USA on April 3, one month before the date it had announced as part of the agreement to buy Qualcomm.
These actions signal the Trump administration's aggressive review posture for Chinese (and other) foreign investment into USA technology firms under an ever evolving, expanding view about national security.
Appeals court backs Texas, Trump in sanctuary city fight
Trump's presidency, the Justice Department threatened to cut funding to such cities. The law is one of the most controversial in recent Texas history.