China: Watchdog is open to making mends with Qualcomm

China regrets Qualcomm’s decision to abandon its bid to buy NXP Semiconductors and still hopes to find a way to resolve the antitrust concerns raised, the country’s regulator announced two days after the US chipmaker pulled out of the US$44 billion deal because Chinese approval wasn’t forthcoming.

“We hope to continue to communicate with Qualcomm and that we can find a suitable solution to resolve the issues within the review period,” the State Administration for Market Regulation said on Friday, July 27 after Qualcomm’s self-imposed deadline to conclude the deal expired at 11:59 p.m. New York time on July 25. “The results of our evaluation showed that Qualcomm’s latest plan could not resolve competition issues.”

The market watchdog said the acquisition, the industry’s biggest ever, would have a profound impact on the global semiconductor market and extended its review window to October 14 from August 15. While it expressed regret at Qualcomm’s decision, the agency also stated it respects the decision.

California-based Qualcomm had been planning to take over its Dutch counterpart since October 2016 and had consent from eight other jurisdictions, including the European Union and Russia. The solitary holdout was China whose approval was required because Qualcomm and NXP are big players in the country, which is the world’s biggest market for semiconductors and cars.

Full Content: Yicai Global

Want more news? Subscribe to CPI’s free daily newsletter for more headlines and updates on antitrust developments around the world.