On Monday, US President Trump signed an order that blocks Broadcom from completing its hostile takeover of Qualcomm. Citing national security fears, the executive order prohibits any merger or takeover attempt, or substantially equivalent action. Additionally, it also bans all 15 individuals listed as potential candidates by Broadcom from standing for election as directors of Qualcomm.
Broadcom is currently based in Singapore but is in the process of moving its HQ to the US. Whether that will be enough to reverse the order remains a question:
It’s not clear whether that’ll be allowed to happen. Trump’s order says that the two companies should “permanently abandon the proposed takeover,” indicating that Broadcom’s move won’t make a difference, unless it’s willing to take the order to court.
One of the main issues with the takeover was that it would put too much power over the wireless communication network in the hands of a single company.