Broadcom, which is facing CFIUS investigation related to its $117 billion bid for Qualcomm, announced a $1.5 billion innovation fund to educate engineers in the U.S.
The combined Broadcom and Qualcomm will be the leader in 5G technologies in the world, Broadcom said.
CFIUS is investigating whether the Broadcom deal to acquire Qualcomm will be national security threat or not. If CFUIS finds that the Singapore-based Broadcom’s investment in Qualcomm is a national security threat, getting approval from several government agencies will be a big challenge.
Following the directive from CFIUS, Qualcomm has already adjourned the shareholders meeting to May from March 6. Qualcomm is still waiting for a formal negotiation with Broadcom on the final bid price and other conditions.
Broadcom will fund enhanced R&D through lawful business practices rather than predatory and anticompetitive behavior. Broadcom said there is no truth to Qualcomm’s argument that its anticompetitive licensing practices are needed to fund a robust R&D effort.
“We are now in the final stages of re-domiciling to the United States, and that process will be completed before May 6, 2018,” Broadcom said.
“When we complete the Qualcomm acquisition, we will have more than 25,000 employees in the U.S., working to make Broadcom the leading communication semiconductor company in the world,” Broadcom said.
