Sources Contact Advanced Search Tutorials

An Interest In:

Web News this Week

Search Archive

Some of Our Sources

View All Sources

Help Webnuz

Referal links:

January 11, 2021 09:25 pm

China Gives US Tech the Silent Treatment

Patience may be a virtue. For U.S. tech companies looking to do deals that involve China, it is also an expensive necessity. From a report: Cisco Systems and Applied Materials each received different lessons on that score last week. On Friday, Cisco found its $2.6 billion deal to buy Acacia Communications in serious jeopardy after Acaia announced it was terminating the merger due to a lack of approval from Chinese regulators. Cisco's unusual response was that it did, in fact, receive the necessary approval, and it is now seeking a court mandate that would prevent the deal from being terminated. The deal was first struck in July 2019 and was Cisco's largest acquisition since its $3.7 billion pickup of AppDynamics more than two years prior. Applied Materials took a different tack. The maker of semiconductor manufacturing gear earlier in the week announced in a regulatory filing that it has upped its price for Kokusai Electric to $3.5 billion from the $2.2 billion the two companies first agreed upon in June 2019. That deal is also only awaiting approval from Chinese regulators. With its higher price, Applied was able to extend the deadline to close the merger to March 19 from its original date of Dec. 30. Both cases are just the latest sign of soured trade relations between the U.S. and China. The departing Trump administration has continued to pursue aggressive actions, such as export controls on Chinese chipmaking giant SMIC and an order requiring the delisting of three Chinese telecommunications companies from the New York Stock Exchange.

Slashdot

Slashdot was originally created in September of 1997 by Rob "CmdrTaco" Malda. Today it is owned by Geeknet, Inc..

More About this Source Visit Slashdot