According to a report published today, Broadcom is going to raise its unsolicited bid for fellow chipmaker Qualcomm to $120 billion from the current $103 billion offer that was put on the table last November, and rejected by Qualcomm. That deal works out to $70 a share and consists of $10 a cash and $60 in Broadcom stock for every share of Qualcomm. Broadcom is reportedly considering a new bid worth between $80 and $82 dollars a share. There is no indication how much cash will be included in a revised offer.

In addition to raising the value of its bid, Broadcom is said to be enticing Qualcomm to go along with the acquisition by raising the value of the break-up fee, which is normally 3% to 4% of the total size of a transaction. Broadcom will pay the higher fee to its target if a deal is rejected by U.S. regulatory agencies.

Qualcomm is well known for its Snapdragon mobile chips used in most smartphones around the world. The company is in the middle of litigation with Apple, and the latter could decide to drop the company and use another chip designer to deliver the modem chip for its 2018 CDMA iPhone models.

Qualcomm has told its shareholders that Broadcom's bid is an attempt to buy the company on the cheap. At the same time, some analysts have said that Qualcomm will probably cave if Broadcom were to raise its bid to $80 or more. If this new rumor is right, Broadcom will announce the higher offer on Monday. And then we will see if a bid at $80 or above is the magic number that Qualcomm will accept.

Not to be forgotten, Qualcomm just needs approval from Chinese regulatory agencies to close its deal to buy NXP Semiconductors NV for $38 billion. Last month, EU anti-trust regulators signed off on the deal. NXP is known for its NFC chips.