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Qualcomm's sale to Singapore-based Broadcom could hurt the chip maker's competitiveness by reducing research and development, which would threaten United States security, treasury said in a 5 March letter released by Qualcomm on Tuesday. Some relate to Broadcom's relationships with third party foreign entities.

The letter caused Qualcomm to delay a critical shareholder vote on the meeting by 30 days. But it now appears willing to continue to pursue its bid for Qualcomm through the CFIUS review, said Bernstein Research Analyst Stacy Rasgon in a research note.

"There can be no question that an American Broadcom-Qualcomm combination will provide far more resources for investments and development to that end", the company said.

Broadcom has pledged to move its headquarters from Singapore to the USA, possibly as soon as May.

Broadcom has a message for United States regulators: We'll make 5G technology a priority and invest in America if you let our bid for Qualcomm go through. "This measure will afford CFIUS the ability to investigate fully Broadcom's proposed acquisition of Qualcomm".

Bloomberg reported Monday that Broadcom's board candidates were getting substantial support from angry Qualcomm shareholders in early voting. Much of the company's troubles stem from its patent licensing business, which has been in the cross-hairs of competition regulators and is at the center of an ongoing fierce legal battle with Apple over patent fees.

In a statement, Broadcom said that it would not only maintain Qualcomm's current spending on research and development but that it would also increase that amount.

Among the grounds for this fear are the assumption that Broadcom will have to cut back on R&D to pay down the $106 billion of debt it would have to take on to make the acquisition and some public statements from Broadcom that indicate it intends to adopt a "private equity" strategy - i.e. cost-cutting.

Broadcom said it is run by a board of directors and senior management team consisting nearly entirely of Americans. Any changes in supply of these products or services could pose national security concerns.

Broadcom's hostile takeover attempt of Qualcomm could pose a national security risk because of Qualcomm's leadership in developing critical semiconductor technology, according to the U.S. treasury department, setting up a potentially insurmountable hurdle to getting a deal done.

Qualcomm's shares slipped 41 cents to $64.33, while Broadcom's were down $1.46 at $249.41.