Broadcom is reportedly pondering over a move to acquire chip-making giant Qualcomm in a deal around $100 billion. If a report from Bloomberg is true, this Qualcomm acquisition would be a mother of all deals in the history of chipmakers.
Broadcom is a big player in the WiFi chip segment while Qualcomm pretty much rules the Android market with SoC’s that have no equal competitor. If these two were to combine, it would lead to an even more consolidated market. The deal would make Broadcom the third largest chipmaker behind Intel and Samsung and the strongest SoC maker in the mobile segment.
The report comes at a time when the heated battle between Qualcomm and Apple keeps going on. According to Bloomberg, Broadcom has close ties with Apple. The California based firm is a major parts supplier to Apple and is at good terms with the brand. An acquisition might eventually lead to a settlement of the long feud ultimately leading to a profit for Broadcom.
Broadcom’s acquisition would also include a recently bought off NXP Semiconductors worth $47 billion in the deal.