Bo Tong 6th formally to Qualcomm (QUALCOMM) proposed acquisition, the price of up to 1,000 billion dollars, although the semiconductor industry has set a high price, Qualcomm believe that Bo Qualcomm bid is too low, seems to want to advantage, is now consulting expert opinion, ready to let this unsolicited buyers retreat. According to the FT, 1 years ago Qualcomm announced the acquisition of rival NXP (NXP Semiconductors), the largest acquisition and trade in the semiconductor industry, the end of the mainland antitrust investigation, the local mobile phone licensing deal waves influx, Qualcomm's momentum at the time, CEO Steve Mollenkopf has issued a boasted, indicating that Qualcomm is about to become the world's largest chip factory. Unexpectedly, one of Qualcomm's biggest customers, Apple (AAPL), filed in January to accuse Qualcomm of improperly charging a licensing fee, and then the regulator's investigation of a high pass patent fee was rolling as snowball. By this effect, Qualcomm's share price tumbled, falling to a few years low in September, with a market capitalisation of 4 per 1. The recent turn of events has revived hopes that Qualcomm's promotion to the global chip leader has flared up again, but this time not by Qualcomm itself, but by rival Bo Tong (Broadcom) proposing a $130 billion takeover plan. Qualcomm and Bo-Tong merger will create a semiconductor giant beast, the smart phone advanced wireless chip a full range of supply plants. However, Qualcomm faced with the former partner defections, share prices straight plummeting dilemma, at this time, the timing and price of the acquisition plan for Qualcomm, quite the meaning of the swoop. Qualcomm's board is preparing to evaluate the acquisition, but people familiar with the situation say the $70 price per share is far below the acceptable level of Qualcomm. In addition, Qualcomm's approach to the acquisition plan is also quite unsatisfactory, it is learnt that Qualcomm board and senior executives on the afternoon of 3rd through the media to hear the news. As a result, Qualcomm has hired consultants such as Goldman Sachs, Evercore and Sard Verbinnen to discuss how to fend off the Bo-Tong takeover plan. But Hock Tan may not be able to retreat easily, after all, he has completed 5 large-scale deals over the past 5 years, including a $37 billion takeover of Avago, a 2015-year-old technology leader. For Qualcomm to question the price of the Bo-Tong is too cheap, tan did not disclose whether the intention to raise the bid, only to emphasize reasonable prices, past transactions confirmed that Bo Tong is a disciplined acquirer. In fact, even if Qualcomm rejects the takeover plan, it can still bypass other ways to achieve its goals, such as initiating a proxy scramble. It is worth noting that not only the Qualcomm resistance, the acquisition plan in the future may also be subject to strict scrutiny by the regulatory unit. According to a document recently submitted to regulators by Mr. Bo, the company's cable infrastructure revenue is half as high as Qualcomm, and NXP (NXP) overlaps, with 30% of the wireless communications partially overlapping. Regardless of whether the deal is still going well, most analysts think the merger of the two companies is more beneficial than the downside, and the potential for synergies can also help bring additional financial benefits. Among them, Cowen's Karl Ackeman believes that Qualcomm and Bo Tong work together, compared to the high-pass single fight can bring about subversive changes. Ackeman pointed out that 5G will be the key technology for the future automatic driving of automotive and industrial networking (Iiot), Qualcomm is now in the layout of this technology, the product mix with sensors, analogies and NFC chips, material will help further enhance the ability to set up the Qualcomm 5G standard. In addition, Qualcomm and Apple lawsuits have not been solved so far, Bo Tong and Apple have a strong relationship, may be able to ease the tension between Qualcomm and Apple. Hock Tan says Qualcomm's business model does have room to improve and improve, and the firm will take a very pragmatic stance on its intellectual property rights and is likely to readjust its business model. But there are also analysts questioning the fact that two companies have merged into almost all of the key wireless communication chip technologies, including Bluetooth, Wi-Fi and data machines, and have also improved their bargaining power with customers such as Apple and Samsung Electronics (Samsung Electronics). Hock Tan said the practice would not work, even a $200 billion semiconductor company is a small business for Apple (about $1 trillion), and Apple is the dominant one, meaning that the new company, with its combination, is unlikely to adjust its prices arbitrarily. Digitimes