Original editorial or commentary No.1: Washington, Broadcom and Qualcomm

As a rare governmental intervention, President Trump ordered Broadcom to abandon their billion bid for Qualcomm. What makes Washington not to accept this most massive merge in the tech history?

Qualcomm is not only the leader in the United States but also in the world's tech industry. It makes chips for phones and all kinds of electronics. Qualcomm's semiconductors will be used in 5G - the next generation of ultrafast wireless networks. So does Huawei, the Chinese company. Here comes Broadcom, a Singapore-based tech company, which attempts a hostile takeover of Qualcomm. More importantly, there is a doubt that Broadcom's ultimate goal of helping Huawei. By doing that, this attempt is to dominate the American 5G development.

Everything on the surface of this big deal seems like an international commercial merging purchase one, which could have been the largest one in history. The revenue made either by Qualcomm or Broadcom will rocket its nation's GDP and raise their dominant position in the world. However, it is an unspoken statement that Qualcomm's products are so crucial to the U.S. national security to let it go to a foreign company. Trump administration did not detail its national security concerns though. If Broadcom bought Qualcomm, the American company (Qualcomm) would get less research money to move ahead on 5G. In turn, that could give Chinese companies a significant advantage in the 5G world. Moreover, Chinese telecom companies have faced many inspections from American intelligence officials recently. In 2016, President Obama blocked another tech-related deal. It is hard to conclude that the agreement will harm the U.S national security but for sure it will impact mainly to the U.S leading technology position in the world and a tremendous amount of revenue for the U.S economy.