Arm Moves to Cancel Qualcomm's Chip Design License Amid Legal Dispute
The cancellation notice escalates a legal battle over Qualcomm's acquisition of Nuvia, threatening its $39 billion chip business.
- Arm has issued a 60-day cancellation notice to Qualcomm for its architectural license, crucial for designing chips based on Arm's standards.
- The dispute began after Qualcomm's 2021 acquisition of Nuvia, with Arm alleging the transfer violated licensing terms.
- Qualcomm argues that its existing agreements cover Nuvia's developments, leading to a countersuit against Arm.
- Cancellation could disrupt Qualcomm's production of Arm-based chips, impacting its smartphone and emerging laptop markets.
- Both companies are preparing for a trial in December, with industry analysts expecting a possible settlement before the license is formally revoked.