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Intel reportedly considering Broadcom bid

(Image credit: Image Credit: Ken Wolter / Shutterstock)

Intel may be considering putting in a bid for Broadcom as well as a number of other acquisition options in an effort to prevent the company from becoming an even larger competitor according to people familiar with the matter. 

The chipmaker's shares fell by one per cent in after-hours trading after The Wall Street Journal reported the news while Broadcom shares rose by more than six per cent. 

Broadcom recently decided to up the ante for its hostile takeover of Qualcomm which would hurt Intel by creating an even larger competitor.  However, if the company's efforts prove to be successful, the chipmaker would then consider making its own offer for the company. 

Those familiar with the matter noted that the offer is not guaranteed and a spokesperson for Intel explained that integrating its recent acquisitions, including Mobileye and Altera, into its business was its main focus at this time. 

The Broadcom / Qualcomm deal has also caught the attention of regulators such as the US Treasury's Committee on Foreign Investment which believes the deal may hurt US national security interests. 

Broadcom is not expected to drop its bid for Qualcomm this month and it will take the necessary measures to win over the concerns of regulators. 

Image Credit: Ken Wolter / Shutterstock

Anthony Spadafora
After living and working in South Korea for seven years, Anthony now resides in Houston, Texas where he writes about a variety of technology topics for ITProPortal.