DEPARTMENT OF THE TREASURY WASHINGTON, D.C. March 5, 2018 Mark Plotkin Covington & Burling LLP One CityCenter 850 lOth Street, N.W. Washington, DC 20001 Theodore Kassinger O'Melveny & Myers LLP 1625 Eye Street, N.W. Washington, DC 20006 Re: CFIUS Case 18-036: Broadcom Limited (Singapore)/Qualcomm Incorporated Dear Mr. Plotkin and Mr. Kassinger: On January 29, 2018, Qualcomm Incorporated ("Qualconnm") filed a unilateral notice with the Committee on Foreign Investment in the United States ("CF, IUS"), seeking review ofBroadcom. Qualcomm's opposition to the deal has diminished, but the company claims Broadcom'soffer is still too low.
However, Broadcom is not a Chinese company.
Broadcom is now based in Singapore, but is in the process of moving its headquarters to the U.S. Broadcom has its Americas headquarters in San Jose, Calif. Qualcomm is headquartered in San Diego.
Such a move could hurt the United States effort to develop 5G wireless technology because of the small number of suppliers that build the hardware. Harm to Qualcomm's innovation would allow China to expand its influence in key wireless technology, the government said.
The Treasury Department's concern is both over national security issues and a fear China would be able to gain a strategic advantage in future 5G networks development.
Authorize CFIUS to exempt certain otherwise-covered transactions if all foreign investors are from a country that meets certain criteria, such as being a US treaty ally and having a mutual investment security arrangement. But the Treasury Department expects Broadcom to scale back on long-term investment, including in R&D, if the acquisition goes through.
Canyon Bridge Capital Partners LLC, a USA -based private equity firm funded by the Chinese government, saw its $1.3 billion acquisition of US chipmaker Lattice Semiconductor Corp collapse a year ago after it was blocked by CFIUS, a rejection subsequently upheld by Trump.
Qualcomm shareholders were set to vote on whether to hand control of the San Diego cellular technology company to Broadcom on Tuesday morning.
Mr Cornyn said on Monday he was glad CFIUS chose to review the deal, noting aggression by " rivals, like China".
The deal was expected to face tough scrutiny from competition regulators.
"CFIUS is going to review any foreign acquisition of Qualcomm", Waite said. Bloomberg reported that Broadcom's slate of board of director candidates was expected to be elected at the meeting.
Broadcom, which is the fourth-largest company in the global semiconductor industry, tried to take over Qualcomm, the third-largest, for more than four months.
"This was a blatant, desperate act by Qualcomm to entrench its incumbent board of directors and prevent its own stockholders from voting for Broadcom's independent director nominees", Broadcom said in a statement.
The risks of the potential deal "warrant a full investigation". Miner Rio Tinto Plc asked CFIUS for a review in 2008 after facing a hostile $150 billion bid by BHP Billiton Ltd, according to a source familiar with the matter.
Broadcom struggled to win CFIUS approval to buy Brocade Communications Systems late a year ago.
Ortiz fell to the canvas moments later, seemingly after coming in contact with Wilder's left, but Fields ruled that he slipped. Deontay Wilder has been branded a racist and a "c**t' after he accused promoter Eddie Hearn of exploiting Anthony Joshua ".
The Steelers had been hopeful they would be able to reach an agreement with Bell before the March 6 franchise tag-deadline. Pittsburgh Steelers' RB Le'Veon Bell is expected to receive his second straight franchise tag from the team.
Five Star performed better than anticipated and was forecast to take the most seats - around 102-122 - but miss out on a majority. Salvini said that, while not interested in a broad "minestrone" coalition, the League would be willing to talk to all parties.
The film about the doping system in Russian Federation has won an Oscar at Sunday's 90th Academy Awards (Oscars) in Los Angeles. The evidence presented by Rodchenkov and Fogel was instrumental in Russia's ban from the 2018 Winter Olympic Games.
With England going 2-1 up in the series, Morgan was not prepared to complain about the process for ruling on disputed catches. The indications are that they were honest with themselves after the opening game and resolved to do better which they did.
Swansea City turned to "rock'n'roll" football to lead West Ham a merry dance and rocket up to 13th in the Premier League table. With ten games of the season remaining, West Ham are now 13th in the top-flight, three points above the relegation places.
Set for a return appearance at the Oscars is Common , who will duet with Andra Day on "Stand Up For Something" from "Marshall". Warren and Faye were all smiles as they came on stage, with Beatty saying: 'It's so nice seeing you again'.
Nunberg also said he got the impression from his interview with Mueller's team that they had evidence implicating Trump. Nunberg added that he plans to defy a subpoena from Mueller to appear before a grand jury in Washington this Friday.
I can tell you that David Warner is very personal and can assure you that whatever was said, Warner has said worse. Starc had match figures of nine for 109 and was particularly effective against South Africa's tailenders.
According to the camera tests done by DxOMark , the Samsung flagship received an industry best of 104 in photo tests. The Korean company has left no stone unturned to ensure that its new phones have the world's best smartphone camera .
To close out 2017, Nintendo launched a sequel to the original Xenoblade Chronicles RPG series, Xenoblade Chronicles 2 . It did not, however, indicate what may be causing the games to reset, leaving players to speculate.
Peele shared that he stopped writing the script "20 times" because he thought it would be impossible to get the film made. Accepting the best picture Oscar , del Toro said from the stage, "I was a kid enamored with movies growing up in Mexico".
Sporadic clashes between rival political groups were reported in different parts of Tripura after the poll results were declared. Bharatiya Janata Party swept the assembly elections in Tripura for the first time in history.
With recent strides forward tackling diversity and representation, The Oscars may decide to make a statement of intent this year. The E! channel will begin broadcasting from the Oscars red carpet at noon today while ABC will begin its coverage at 5:30 p.m.
According to The Canadian Press , Toronto police have recovered a seventh set of remains linked to the alleged serial killer. Michael Pollanen, the chief forensic pathologist for the province, to explain the scope of the investigation.
Barnaby Joyce has revealed that he may not be the father of partner Vikki Campion's baby boy that she is expecting in April. The former deputy prime minister claims he was on a trip to Europe at around the time she conceived.
Given the possibility of high snowfall rates of 1 to 2 inches per hour, we anticipate very hard travel across the area on Monday . A winter storm warning is in effect until noon Tuesday for the James River Valley in North Dakota including the Jamestown area.
The president, a former NY property developer, claimed that he is saving taxpayer dollars on the construction of the embassy. The Palestinians, meanwhile, said Trump's decision on Jerusalem renders the United States an unreliable actor in peace talks.
Winds will increase across the area today , causing areas of blowing and drifting snow with reduced visibility and hard travel. Tuesday night , the low will be around 27 with mostly cloudy skies, according to the weather service.
The loss drops the Celtics to 44-20, three games behind the Toronto Raptors in the loss column for the best record in the East. Somehow both teams found enough time to foul each other and take ten more total free throws in the final seconds of the game.
The filmmakers, the producers, the directors, the writers, the cinematographer, the composers, the songwriters, the designers. Actress Emma Watson took to the Oscars red carpet on Sunday evening with a cause close to her heart tattooed on her arm.