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Submission + - Qualcomm Ended NXP Acquistion After Failing to Secure Chinese Approval (investopedia.com)

hackingbear writes: Qualcomm officially terminated the deal to buy Dutch semiconductor giant NXP after failing to get a decision from regulators in China by its deadline and paid NXP previously agreed $2 billion termination fee. Chinese market accounts for 30% of Qualcomm's revenue. China's refusal of the approval can also be a retaliation against an $1.4 billion penalty against ZTE imposed by the U.S. Department of Commerce over technicalities of ZTE's violating Iran sanction, a move viewed by China as an U.S. excuse to launch trade war. "It's a reminder that trade wars are maybe not that easy to win," says Steven Roach of Morgan Stanley "And China has a lot of ammunition up its sleeve." Roach urged the Trump administration to understand that the U.S. and China "need each other," saying low-price Chinese imports are needed to "make ends meet" for cash-strapped Americans. Separately, in a hearing at the Office of United States Trade Representative for imposing additional tariff on Chinese imports due to the alleged intellectual properties theft by China, an accusation that the U.S. itself had committed, out of some 61 figures from the country’s chemical, electronics, solar energy sectors, only six expressed their support for the move.

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