Broadcom is looking to acquire Qualcomm in what would be the largest deal in the semiconductor industry’s history, reports Bloomberg.
Much discussion of the potential acquisition has focused on how it would impact the smartphone industry, but it could also have major ramifications in the IoT, where connectivity using chips and chipsets is a critical component of any device.
Broadcom’s initial, unsolicited bid of $105 billion will likely be rejected by Qualcomm’s shareholders, according to Bloomberg.
Qualcomm has been a leader in the IoT, introducing a number of chipsets and platforms, and investing heavily to build the underlying technology IoT devices rely upon. The company has been one of the pioneers of 5G technology and has specifically highlighted how it will impact the IoT.
It’s also released chipsets to enable the expansion of in-car connectivity as well smart city projects. And it’s even wading into the growing smart speaker market, offering a reference design that companies can use as the basis for a smart speaker. Qualcomm is also in the midst of a major acquisition of its own — it agreed to purchase NXP for $39 billion, in a deal that’s still pending regulatory approval — that would greatly expand both its IoT and automotive businesses.
Broadcom, on the other hand, hasn’t been very active in the IoT. The company’s most notable move in the space was actually its exit from the IoT; in May 2016 it spun out much of its IoT business and sold Read More Here