Broadcom has sweetened its offer for Qualcomm to US$121 billion – its “best and final offer” – to buy the US semiconductor peer as it tries to get it back to the negotiation table.

The takeover battle is at the heart of a race to consolidate the wireless technology equipment sector, as smartphone makers such as Apple and Samsung Electronics use their market dominance to negotiate down chip prices.

Broadcom’s new $82 a share offer comprises $60 in cash and $22 in Broadcom stock. Its first offer in November, of $70 per share, comprised $60 in cash and $10 in stock.

Qualcomm shares fell 4.3 percent to $63.20 on doubts about the deal’s prospects. Broadcom said on Monday its improved offer was premised on either Qualcomm acquiring NXP Semiconductors on the current disclosed terms of $110 per share in cash, or the $38 billion transaction being terminated.