The proposed takeover of Qualcomm by Broadcom has been put on hold by US President Donald Trump.

As reports suggests that the US government does not want to give up in front of China, if Singapore-based Broadcom took over the San Diego-based Qualcomm. The Silicon Valley will no longer be the lead in creating technology and setting standards for the next generation of mobile cell phone communications.

If the deal would have been closed, then China had an upper hand in mobile communications.

As per a statement issued by White House, it is to protect national security. President Donald Trump has ordered a prohibition to any kind of takeover, merger between chip-making giants Broadcom and Qualcomm. The order also states that Broadcom will not be allowed to purchase or merge with Qualcomm in any way and that all of the people Broadcom has proposed to Qualcomm’s board are disqualified.

Broadcom was trying to buy Qualcomm, but all of its efforts have been futile. Moreover, Broadcom is also planning to move its headquarters to the US.