Qualcomm: Possible Settlement with Broadcom in the Works
Today Qualcomm delayed its quarterly earnings report and revealed that it was in "advanced settlement discussions with Broadcom regarding a global settlement of all disputes between the parties." Qualcomm warned that there was no guarantee the two companies would come to terms over there patent issues, but if they do, the impact to Qualcomm's financial results would be significant. In an appeasement to shareholders, Qualcomm noted that "revenue and operating income for the second quarter of fiscal 2009, excluding the potential impact of the Broadcom agreement, met or exceeded prior guidance." Qualcomm will provide more information over the coming days as it becomes available.
Qualcomm Says Two Big Buyers Likely to Bail Over Broadcom Tie-Up
Qualcomm warned investors that two of its most important customers have threatened to take their business elsewhere should Qualcomm be acquired by Broadcom. Qualcomm didn't name the customers, but said together they contribute a combined $1 billion in chip revenue.
Qualcomm Says It Met with Broadcom to Discuss Acquisition
Qualcomm today said members of its board of directors and senior management met with Broadcom to talk about the latter's acquisition offer. Broadcom offered to buy Qualcomm for $121 billion, but Qualcomm shot the deal down.
Broadcom Lowers Offer for Qualcomm, Qualcomm Says No Way
Broadcom revised its offer to acquire Qualcomm downward by $3 per share after Qualcomm increased its own bid to buy NXP Semiconductors. Broadcom said, "Qualcomm's board acted against the best interests of its stockholders by unilaterally transferring excessive value to NXP's activist stockholders." Broadcom would have preferred to see Qualcomm act together with Broadcom to broker the right deal for NXP while still allowing Broadcom to move forward with its own offer to buy Qualcomm.
Qualcomm Rejects Broadcom's Acquisition Offer
Qualcomm's board of directors today unanimously rejected Broadcom's Nov. 6 offer to buy the company in a deal that would have been valued at approximately $130 billion.