Ex-chairman of Qualcomm board leaves company
Broadcom won’t be able to buy Qualcomm now, but the targeted chipmaker could still be left open for snatching by other actors.
By coincidence, let’s meet Dr. Paul Jacobs. He’s a son of one of the company’s founding members, Irwin Jacobs, and was, up until a few days ago, the chairman of the board of directors. In the midst of some intracorporate shuffling to protect itself against a Broadcom takeover, Jacobs stepped down, though he remained on the board, and the board appointed a non-executive chairman to lead it.
Today, Qualcomm announced that Jacobs would not be re-nominated to the board upon his announcement that he is exploring the possibility of acquiring Qualcomm. After the next shareholders vote on March 23, the panel will consist of 10 members.
Jacobs describes his removal as “unfortunate and disappointing” and sees it as an exile by other board members. He believes that the company would be in its strongest position as a private one.
Sources to Reuters say that Jacobs vouched for the company’s position against the Broadcom takeover, but has not been happy with Qualcomm’s reactions during the campaign. He had attempted to gain financing for his own big through SoftBank’s Vision Fund. Jacobs currently owns 0.1 percent of QCOM’s outstanding shares.
Qualcomm chief executive Steven Mollenkopf, facing increased investor pressure to produce profits following the dissolution Broadcom’s offer, recently announced that the company would cut $1 billion in costs and patch up legal fights with Apple over the next year. QCOM stock price was up 1.2 percent today.