February 22, 2016
Chinese Takeovers: Political Backlash Grows in DC
Here’s the intro from this NY Times article:
As Chinese companies try to snap up American tech businesses, they are setting off ripples of unease in the Obama administration and in Congress, inciting a backlash that has stopped the latest acquisition attempt. One of the companies that first brought silicon to Silicon Valley — Fairchild Semiconductor International — said it would remain in American hands after rejecting a takeover offer worth about $2.5 billion led by Chinese state-backed buyers. Instead, Fairchild embraced a smaller bid from an American rival on Tuesday, citing concerns that federal regulators might reject the Chinese deal.
The unsuccessful Chinese bid for Fairchild was just one of at least 10 such offers in the last year for international semiconductor businesses, mostly in the United States. China’s Five-Year Plan, the government’s economic and strategic road map, has emphasized semiconductors as a core industry. And a long list of Chinese companies with varying ties to the government have been trying to acquire foreign technology in the sector.