Arm and Qualcomm Battle Over Licensing and IP Ownership in Pivotal Trial
The case could reshape semiconductor industry practices and determine the future of Qualcomm's Snapdragon X chips.
- The trial centers on Qualcomm's acquisition of Nuvia and whether its designs, based on Arm's architecture, violate licensing agreements.
- Arm claims Qualcomm owes higher royalties and breached contracts by not renegotiating Nuvia's licenses after the acquisition in 2021.
- Qualcomm argues its Architecture License Agreement (ALA) covers Nuvia's work and asserts that Nuvia's Oryon cores use less than 1% of Arm's technology.
- Arm alleges it loses $50 million annually due to Qualcomm's actions, on top of the $300 million Qualcomm already pays in royalties.
- A jury verdict, expected soon, could force Qualcomm to destroy Nuvia-based designs or affirm Qualcomm's licensing position, impacting its PC market ambitions.