On Friday Patently Apple posted a report titled "Apple's War with Qualcomm could come to an End if Broadcom Acquires Qualcomm in the Coming Days." Today we're learning that Broadcom has offered to by Qualcomm for an amazing $103 billion and $130 billion on a pro forma basis.

According to a new Reuters report today, "Communications chipmaker Broadcom Ltd on Monday said it offered to buy smartphone chip supplier Qualcomm Inc. for $70 per share or $103 billion in cash and stock, in what would be the biggest technology acquisition ever.

Broadcom's offer is at a premium of 27.6 percent to Qualcomm's closing price of $54.84 on Thursday, a day before media reports of a potential deal pushed up the company's shares.

Broadcom said BofA Merrill Lynch, Citi, Deutsche Bank, JP Morgan and Morgan Stanley have advised that they are highly confident that they will be able to arrange the necessary debt financing for the proposed transaction.

Qualcomm has yet to respond to the offer publicly yet.

Bloomberg's report states that "Buying Qualcomm would make Broadcom the third-largest chipmaker, behind Intel Corp. and Samsung Electronics Co. The combined business would instantly become the default provider of a set of components needed to build each of the more than a billion smartphones sold every year. The deal would dwarf Dell Inc.'s $67 billion acquisition of EMC in 2015 -- then the biggest in the technology industry. The proposed transaction is valued at approximately $130 billion on a pro forma basis, including $25 billion of net debt. 

Tan is making a play for Qualcomm as the once-unstoppable chipmaker limps through a rare moment of weakness. Qualcomm's most profitable unit, which licenses mobile phone technology, is under assault from regulatory actions around the world and a legal challenge from Apple Inc. The lawsuit may prompt Apple to stop buying Qualcomm chips for use in the iPhone and other products, which would deal a major blow to a unit that drives the bulk of Qualcomm's revenue. Meanwhile, Broadcom counts Apple among its largest customers.

In the statement Monday, Broadcom said its offer stands whether Qualcomm's pending acquisition of NXP is closed under the current terms of $110 per NXP share, or if the transaction is terminated."

Now we wait for some form of reaction by Qualcomm. Will they dismiss the offer outright and plunge deeper into their war with Apple or will they take the money and run, ending the quagmire their stock has been in since starting their war with Apple.

Once the war started you could see by the chart above that their stock has been steadily falling until the bid from Broadcom was announced as you can see by the spike.

If the deal were to proceed, it would be considered a huge victory for Apple, as Broadcom wants to expand their business with Apple and would likely price their chips at reasonable prices.

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