Collage Qualcomm vs ARM. Source: shutterstock
Qualcomm successfully defended itself in a lawsuit against ARM Holdings for breach of licensing agreement. The dispute arose after Qualcomm's acquisition of startup Nuvia for $1.4 billion in 2021.
Here's what we know
ARM claimed that Qualcomm wrongly used Nuvia's chip technology without paying higher licensing fees. However, a federal jury found that Qualcomm did not violate the terms of its agreement with ARM and that all Qualcomm products at issue in this case were protected by the contract between Qualcomm and ARM. The jury was also unable to decide whether Nuvia violated its license, leaving the issue open for a possible retrial.
ARM argued that the acquisition of Nuvia should have resulted in a renegotiation of the license terms. Qualcomm, for its part, argued that it has a separate licensing agreement with ARM, which covers the use of ARM technology in its products.
This unresolved issue could give rise to further legal action. ARM expressed frustration with the jury's inability to reach consensus on all counts. The company said it intends to seek a new trial on whether Nuvia violated its licensing agreement.
Qualcomm welcomed the jury's decision and said it will continue to develop world-class high-performance products on the new Oryon architecture, which will benefit consumers around the world.
Source : theverge, Qualcomm