In an unusual step, President Trump has signed an executive order blocking Broadcom's $117 billion bid to buy Qualcomm. The order released Monday cited "credible evidence" that led Trump to believe the Singapore-based Broadcom, in purchasing America's largest mobile chipmaker, "might take action that threatens to impair the national security of the United States."
"The proposed takeover of Qualcomm by the Purchaser is prohibited," the president said in his order, "and any substantially equivalent merger, acquisition, or takeover, whether effected directly or indirectly, is also prohibited."
Trump said his decision was informed by a recommendation from the Committee on Foreign Investment in the United States, an interagency panel that — in its own words— investigates "transactions that could result in control of a U.S. business by a foreign person." The group evaluates these deals according to their possible effects on national security.