On March 12, 2018, President Trump signed an order prohibiting the proposed takeover of Qualcomm Incorporated (Qualcomm) by Broadcom Limited and its related companies (Broadcom) pursuant to section 721 of the Defense Production Act of 1950, as amended (section 721), 50 U.S.C. 4565, and other authorities. The action was taken because the President believed that Broadcom through exercising control of Qualcomm, a Delaware corporation, might take action that threatens to impair the national security of the United States and that section 721 and the International Emergency Economic Powers Act (50 U.S.C. 1701 et seq.), do not, in the President’s judgment, provide adequate and appropriate authority for him to protect the national security in this matter.
