Broadcom Pledges 5G Investment to Win Qualcomm Deal Approval
Broadcom pledged on Wednesday to keep the United States at the forefront of emerging mobile technology if it were to acquire Qualcomm, the chip maker’s latest effort to allay the Trump administration’s national security concerns about its hostile takeover bid.
The response came after the Committee on Foreign Investment in the United States, the government panel known as Cfius that reviews the national security implications of transactions, ordered a delay of Qualcomm’s shareholder meeting as Broadcom sought to win a majority of the company’s board seats.
In a statement, Broadcom said that it would not only maintain Qualcomm’s current spending on research and development but that it would also increase that amount. It added that it would create a $1.5 billion investment fund to train American engineers.
“This will ensure America’s lead in future wireless technology,” Broadcom said in its statement.