Qualcomm Wins Key Legal Battle Over Arm Licensing Dispute
A Delaware jury ruled Qualcomm's use of Nuvia technology complies with its existing license, dealing a setback to Arm's claims.
- A jury in Delaware found Qualcomm did not breach its Architecture License Agreement (ALA) with Arm through its acquisition of Nuvia in 2021.
- The ruling allows Qualcomm to continue developing custom CPUs using Nuvia technology under its existing ALA with Arm.
- Arm's attempt to force Qualcomm into renegotiating a new licensing agreement was unsuccessful, potentially reducing future royalty revenues.
- The decision provides Qualcomm with significant leverage in future licensing negotiations and removes uncertainty for its ongoing chip development.
- Arm's stock dropped 5.7% following the verdict, while Qualcomm's stock rose 2.3%, reflecting investor reactions to the court's decision.