Qualcomm announces growth in latest quarter, pulls out of NXP acquisition

Yordan, 26 July 2018

Qualcomm announced its results for the three-month period, ending on June 24. Both revenue and operating income have grown on a quarterly and yearly basis, but another announcement also grabbed our attention - the San Diego company is pulling out of the NXP acquisition after failing to obtain agreement from Chinese regulators.

Qualcomm wanted to purchase the Eindhoven-based NXP back in February for $44 billion.

The San Diego chipset manufacturer got approval from 8 key regulatory bodies, but the 9th and last one - the Chinese State Administration for Market Regulation with the Ministry of Commerce still havenít issued a resolution. This caused Qualcomm to abandon plans for purchasing its Dutch competitor.

The raw numbers for the third fiscal quarter reveal revenues of $5.6 billion, a 6% increase from Q2 and 4% jump from the same period in 2017. Operating income is $0.9 billion, 110% more than it was three months ago. It was supposed to be $1.4 billion, but due to disputes with Apple contract manufacturers, $500 million is yet to be wired to Qualcomm.

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Reader comments

  • Anonymous

Agree... The chinese is not stupid. They think "Why approving qualcom to take over NXP, if USA gonna banned chinese device to buy qualcom chip in the future." This 2 billion dollar lost is caused by Trump

Without apple and Samsung they can earn even much more.

  • AnonD-241270

they dont lost trust in Qualcomm, they lost trust about Trump, that guy is the guilty here, and chinese company's are cautious about deals with USA. ZTE is just a example of things that could happen without warning.