The mobile chip maker said Broadcom's $103 billion takeover offer ''dramatically'' undervalues the California-based company. Fred Katayama reports.
Circuits could be sizzling at two big chipmakers. Qualcomm turned down rival Broadcom's $103 billion takeover offer Monday. It says the bid "dramatically" undervalues the California-based company. That rejection sent Qualcomm shares higher in Monday trading. Direxion managing director Sylvia Jablonski: SOUNDBITE: SYLVIA JABLONSKI, MANAGING DIRECTOR, DIREXION, (ENGLISH) SAYING: "Qualcomm thought that the deal was undervalued and Broadcom you know is continuously would like the deal to go through, so they may come back with another offer." Broadcom made an unsolicited offer last week in its bid to become the dominant supplier of smartphone chips. Qualcomm supplies the likes of Apple and Samsung with its mobile phone chips. The offer comes just as Qualcomm tries to close its $38 billion purchase of Dutch automotive chipmaker NXP Semiconductors. A sale of Qualcomm to Broadcom would need the blessing of antitrust regulators who are also considering the NXP deal.