Chipmaker Broadcom’s proposed $142bn hostile takeover of Qualcomm has given European lawmakers some reservations over data protection implications for EU citizens, reported the Financial Times.
Recently Qualcomm secured a $44bn agreement to buy NXP, a Dutch group that makes chips for German passports, and European officials are uncomfortable with Broadcom having access to such information.
“We are concerned about the possibility of a European company handling sensitive data of EU citizens falling in the hands of a company that is based in Singapore, where data protection standards are lower than in the EU,” Josef Weidenholzer, vice-president of the S&D, the second-largest party in the European Parliament, told the Financial Times
Niels Annen, a Social Democrat member of parliament from Hamburg, said: “Qualcomm made a range of assurances regarding the plant in Hamburg that were very positive. There were no such signals from Broadcom and that has raised concerns.”
Although the vote is likely to be very close, several stockbrokers buying and selling shares on behalf of large investors said the tide is shifting in favour of Qualcomm’s management, which is opposed to Broadcom’s board changes and existing takeover proposal.
Full Content: Financial Times