Broadcom's hostile bid for the larger San Diego-based company is the latest and most audacious move by Tan in a string of deals that have made his company one of the world's largest suppliers of semiconductors.
"Our proposal includes substantially more Broadcom stock, which will allow Qualcomm stockholders a greater opportunity to participate in the upside created by the combined company's strategic and operational advantages", said Hock Tan, president and chief executive officer of Broadcom.
The Singapore-based firm said it was prepared to pay a "significant" fee to Qualcomm if the two companies agree but the deal is blocked by regulators.
The offer comes just as well-known Apple analyst Ming-Chi Kuo of KGI Securities reports that Apple is planning to source modems exclusively from Intel, rather than dual-sourcing from both Qualcomm and Intel, as the Cupertino computing giant did in the past.
Broadcom is confident it would be able to complete a takeover within 12 months of inking a deal.
Qualcomm is also in the process of its takeover attempt of NXP Semiconductors for $38 billion or $110 per share.
Broadcom appears to be getting ready to raise its bid for rival chipmaker Qualcomm according to a number of media reports, all of which cite "people" familiar with the matter. It's in the ballpark of what some Qualcomm holders surveyed by Bloomberg News in November said they would accept. Qualcomm primarily licenses its technology for the delivery of broadband and data, a business that would significantly benefit from the rollout of 5G wireless technology. Apple sued Qualcomm a year ago, attacking patent licensing practices that have also been opposed by regulators in the United States, Europe and Asia.
Qualcomm denounced that plan, but shareholders will be asked to vote on the competing slates of candidates, with results to be announced at the shareholders meeting scheduled for March 6. Qualcomm CEO Steve Mollenkopf had dismissed Broadcom's earlier proposal of $70 per share as not being worth consideration.
"Broadcom believes this offer is vastly superior to Qualcomm's standalone prospects. and remains hopeful the Qualcomm board of directors will act responsibly on behalf of Qualcomm stockholders and engage with Broadcom on this offer without further delay", the company said in a statement.