Date
11 December 2017
The deal would reinforce Qualcomm's fight against an unsolicited US$103 billion takeover bid from Broadcom. Photo: Reuters
The deal would reinforce Qualcomm's fight against an unsolicited US$103 billion takeover bid from Broadcom. Photo: Reuters

Qualcomm set to win EU, Japanese antitrust approvals for NXP

US smartphone chipmaker Qualcomm is set to win Japanese antitrust clearance for its US$38 billion bid for NXP Semiconductors and gain Europe’s approval by the end of the year with slight tweaks to its concessions, Reuters reports, citing a person familiar with the matter.

Winning the green light from both competition authorities would take Qualcomm a major step forward to closing the deal and reinforce its fight against an unsolicited US$103 billion takeover bid from Broadcom, the news agency said.

 
The Japan Fair Trade Commission (JFTC) “is expected to clear Qualcomm’s acquisition of NXP imminently”, the source said. “The European Commission is expected to follow soon.”
 

To address competition concerns, the company has agreed not to purchase NXP’s standard essential patents and not to take legal action against third parties related to NXP’s near field communication (NFC) patents except for defensive purposes.

It also offered an interoperability pledge which will allow rival products to function with NXP’s products.

NXP, headquartered in Eindhoven, the Netherlands, co-invented NFC chips which enable mobile phones to be used to pay for goods and store and exchange data.

Qualcomm will make incremental changes to concessions offered to the EU authority last month, the person said.

– Contact us at [email protected]

RA/CG

EJI Weekly Newsletter

Please click here to unsubscribe