Deals
Qualcomm Rejects Split After Completing Strategic Review
- Board backs keeping licensing and semiconductor units together
- Stock slump, slower sales, investigations drove push for split
Qualcomm Board Rejects Calls to Split Businesses
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Qualcomm Inc. rejected calls to split itself in two, betting that keeping its chipmaking and patent licensing businesses together is the best formula for turning around an earnings slump and stock drop.
Qualcomm also updated the outlook for its fiscal first quarter ending this month, saying it may “modestly” exceed its prior profit forecast. Following a review of the “benefits and challenges of the existing structure,” the mobile chipmaker’s board and management decided, as anticipated, not to separate the two arms of the company.