Broadcom has been trying to takeover Qualcomm, and if successful, they would form one of the largest chip companies in the world. However it seems that concerns about a monopoly wasn’t what the US government was worried about, but rather what Broadcom’s takeover could mean for Chinese companies. So much so that the Committee on Foreign Investment has blocked Broadcom’s bid on Qualcomm.

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Apparently it seems that the committee has determined that Broadcom’s possible takeover could mean that it could benefit Chinese companies in the race to produce next-gen mobile technology and eliminate an important supplier of telecoms technology to US federal defense agencies, some of the concerns of which were reported last week.

Given that the bid has now been blocked, it is unclear as to what Broadcom plans to do moving forwards, although according to the rumors, it has been suggested that Intel could be interested in acquiring Broadcom in what appears to be a love triangle of sorts. This is not the first time that the US government has expressed their concern over Chinese companies.

Earlier US intelligence agencies had warned against purchasing Chinese branded smartphones, where it was reported that they had also encouraged major US carriers to drop their deals with companies such as Huawei.

Filed in General. Read more about Broadcom, Legal, Qualcomm and SoC.

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