Arm cancels chip design license for Qualcomm

The conflict between Arm Holdings and Qualcomm continues to escalate, and the rights to develop ARM-compatible processors are at stake. Arm has notified Qualcomm of its intention to revoke the license to use their intellectual property, and Qualcomm has 60 days to resolve the situation. If that deadline expires without a deal, Qualcomm could lose the right to develop chips based on the ARM architecture, which would affect its business.

At the heart of the conflict was Qualcomm’s purchase of Nuvia, whose technology has been integrated into the latest Snapdragon processors, including the Snapdragon X for Windows laptops and the Snapdragon 8 Elite for mobile devices. Arm argues that the acquisition of Nuvia does not automatically give Qualcomm the right to use Nuvia’s license to the ARM architecture, and is pushing for a review of the licensing terms. Qualcomm believes that the acquisition of Nuvia gives them the right to inherit this license.

A Qualcomm representative describes Arm’s actions as “another attack” and says that the demands to terminate the contract are unfounded. Qualcomm is confident that their rights will be confirmed in December, when the trial in this case will take place. If the companies do not reach an agreement, the termination of the licensing agreement could hit Qualcomm hard, as it sells millions of ARM chips each year for mobile devices and laptops.