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Qualcomm Admits It Failed to Notify China Over Autotalks Acquisition

By  |  October 13, 2025

US semiconductor giant Qualcomm has acknowledged that it did not inform Chinese regulators before completing its acquisition of Israeli automotive chipmaker Autotalks, according to Reuters. The admission came after China’s State Administration for Market Regulation (SAMR) launched an antitrust investigation into the company, examining whether Qualcomm violated Chinese antitrust laws by failing to declare the transaction.

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    Per Reuters, the Chinese regulator said it had notified Qualcomm in March 2024 that the deal required prior approval. Qualcomm reportedly responded at the time that it would not move forward. However, SAMR stated that the U.S. firm completed the acquisition in June 2024 without further communication and later “acknowledged the above facts.” This acknowledgment became the basis for Beijing’s formal antitrust probe.

    According to Reuters, Qualcomm’s shares dropped more than five percent last Friday following comments from former U.S. President Donald Trump threatening new tariffs on China and suggesting he might cancel an upcoming meeting with President Xi Jinping. The drop underscored how sensitive Qualcomm’s position is in the Chinese market, which contributed roughly 46 percent of its total revenue in the 2024 fiscal year.

    Read more: China Opens Antitrust Investigation Into Qualcomm’s Autotalks Deal

    Industry analysts, cited by Reuters, say Qualcomm’s decision to admit its oversight so quickly signals a pragmatic effort to limit tensions with Chinese regulators and avoid a prolonged dispute in one of its key markets. Experts also point out that China’s latest series of investigations—such as the renewed probe into Nvidia’s 2020 acquisition of Mellanox announced on September 15—may serve as leverage in broader trade negotiations with Washington.

    Observers suggest that Qualcomm’s public acknowledgment and cooperation reflect a strategic attempt to protect its business interests in China while navigating escalating political and regulatory pressures ahead of the upcoming U.S.-China summit.

    Source: Reuters