Chip maker Qualcomm Inc. said Thursday that it is buying NXP Semiconductors in a massive deal to diversify its business as the smartphone market slows. It clearly is the biggest deal ever for San Diego smartphone chip maker Qualcomm, dwarfing the company’s previous acquisitions of Atheros and CSR, which were in the $3-billion range. Qualcomm is to pay $110 a share for NXP, an 11.5% premium over NXP's Wednesday closing price of $98.66. The deal would transform Qualcomm from a leader in semiconductors used in smartphones into a company that builds chips for many markets. But the transaction also would move Qualcomm beyond the smartphone chip market, where growth has slowed and it’s facing more competition from Intel, Samsung, MediaTek and others.

Source: Los Angeles Times October 27, 2016 13:37 UTC