SAN DIEGO _ Qualcomm is reportedly in talks to buy NXP Semiconductor for about $30 billion in what could be a blockbuster, transformative deal for the San Diego wireless company.
Citing unnamed sources familiar with discussions, The Wall Street Journal reported Thursday that the two companies are in discussions. A Qualcomm spokeswoman said the company doesn't comment on speculation. NXP, based in the Netherlands, could not be reached for comment.
If it happened, the deal would be by far the largest ever for Qualcomm, potentially transforming the company from a mobile chipmaker and intellectual property provider to a broad-based semiconductor firm with a range of products in automotive electronics, internet of things, secure payments and other markets.
It also could be a tricky integration, merging the cultures of a high-profile Southern California smartphone chip company with a European firm that supplies technology that's not often in the public eye.
Such a deal could return Qualcomm to revenue and earnings growth, however. It has struggled to boost its financial results in the past year amid a slowing smartphone sales and increased competition in mobile chips.
While Qualcomm is pushing mobile technology into wearables, drones, mobile health, automotive connectivity and other markets, these moves have not been enough to make up for slowing smartphone growth.
NXP is among the world's top 10 semiconductor companies. It supplies many chips used in cars, ranging from motor controls for such things as power windows to on-board entertainment systems. It is the world's largest supplier of automotive electronics.
NXP also makes near field communication chips and secure payment semiconductors used in mobile phones, smart cards, bank cards and point of sale devices.
Last year, NXP kicked off what turned out to be a wave of consolidation in the semiconductor industry when it paid nearly $12 billion deal to buy Freescale Semiconductor, which is based in Austin, Texas.
Qualcomm's shares jumped 6.3 percent in trading Thursday to close at $67.45, while NXP's shares surged nearly 17 percent to close at $96.12.
