Potus Puts His Weight Down to Stop the Qualcomm-Broadcom Merger

The on-going Qualcomm-Broadcom drama took an unprecedented turn on Monday when President Trump issued an executive order to terminate the hostile merger of the tech-giants on the basis that it would pose a national threat to the country by leaving it largely dependent on Huawei for its chip demands.

The executive order read “There is credible evidence that leads me to believe that Broadcom Limited, a limited company organized under the laws of Singapore (Broadcom)…through exercising control of Qualcomm Incorporated (Qualcomm), a Delaware corporation, might take action that threatens to impair the national security of the United States.”

Although the exact evidence, so far, has nowhere been published for the public eye, top U.S security personal share similar opinions as that of Pr.Trump. A source from within the government said that the U.S. government is concerned that “There would essentially be a dominant player in all of these technologies and that’s essentially Huawei, and then the American carriers would have no choice. They would just have to buy Huawei (equipment).”

The executive order not only prevents the companies from merging but also terminates the election that was due to happen within Broadcom’s 15 candidates to take over the board for Qualcomm.  

Broadcom responded to the order stating, “Broadcom strongly disagrees that its proposed acquisition of Qualcomm raises any national security concerns.”

The direct intrusion of the U.S government and now that of the president himself leaves us to conclude that the U.S.A will not allow any dominance of any part of its sector to a foreign entity, especially if it’s from the far east (China).