Fox News: Trump Stops Foreign Takeover of Qualcomm Fox News: Trump Stops Foreign Takeover of Qualcomm – NTK Network

Fox News: Trump Stops Foreign Takeover of Qualcomm

Fox News reported that the federal government is concerned the takeover could affect national security.

By NTK Staff | 03.08.2018 @1:35pm

The Trump administration issued a pause on the acquisition of Qualcomm by Broadcom, citing national security concerns over the takeover, Fox News reported Wednesday night.

Broadcom, headquartered in Singapore, could threaten Qualcomm’s critical development of an American 5G network.

“As the worldwide race to develop 5G, the fifth generation of wireless technology, heats up, [the Broadcom takeover] is threatening to undermine America’s competitive edge in the tech sector and jeopardize its national security interests,” Fox‘s Jillian Turner reported.

“Qualcomm is currently leading the pack when it comes to 5G research and development, but a Singaporean company called Broadcom is making a bid to acquire Qualcomm for a staggering $117 billion,” Turner said.

The federal government worries that the takeover will end Qualcomm’s development of 5G networks, giving China an edge in future technologies. “Americans should be concerned that if China does this, then first of all, they are going to dominate global communications in the wireless area, but also they will be able to spy on Americans,” Asia expert Gordon Chang said.

But the Committee on Foreign Investment in the United States (CIFIUS) placed a hold on the acquisition, reviewing the national security implications of a Broadcom takeover.

“Should this deal go through, it will effectively forfeit the future of American 5G,” one national security official told Fox.

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