Friday, July 27, 2018

Qualcomm- NXP Deal Collapses with nothing from China

Let's Blame China for the collapse of the Qualcomm - NXP deal, if only for the reason that China says "Don't blame us".  The deal was announced in 2016, so the Chinese have had two years to think about a response to it.  They claim they were thinking about it really hard. 

They also claim that they asked for more information and did not get enough.  That is an easy thing to say, but we don't know what they were asking for. It cost Qualcomm $2 Billion to abandon the deal, so who would you believe - the Chinese government which dragged along for two years with their collective fingers in their noses, or the guys who bet $2 Billion that they could get the six regulatory bodies of the world to approve this deal?  Not even close.  The Chinese are pushing the envelope to have us believe that any of the business entities involved or the other regulatory bodies that did approve it, would have combined to stop the deal.  Not going to happen with this much money on the line. 

Most of us growing up had a moment when our mother said, "Who did that?"  You and your siblings point to each other quickly before mom figures it out.  We were playing Mom for stupid.  She wasn't, any more than people who can figure out this kind of thing for themselves.  Mom thinks for herself, "Do they really think I'm that dumb?"  China thinks we are that dumb. 

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