23. December 2024
Qualcomm Wins Major Breach Lawsuit Against Arm Holdings

A federal jury in Delaware has ended a two-year-long legal battle between Arm Holdings and Qualcomm with a mistrial and a favorable ruling for the chipmaker. The case centered on whether Qualcomm breached its licensing agreement with Arm Holdings after acquiring Arm licensee Nuvia for $1.4 billion.
The jury’s decision came after it was unable to reach a consensus on one of the allegations, but found in favor of Qualcomm on another. According to the judge, neither side had a clear victory, leaving the possibility open for a retrial.
Arm Holdings sued Qualcomm over the alleged breach of a licensing agreement following Nuvia’s acquisition. However, the jury ultimately sided with Qualcomm after reviewing Arm’s internal documents that estimated it could have lost $50 million in revenue as a result of the deal. This finding suggested that Nuvia had not breached its license agreement with Arm.
The case centered on whether Nuvia’s use of Arm technology was legitimate and whether Qualcomm’s acquisition of the startup constituted a breach of their contract. However, the jury found that Qualcomm had properly licensed its central processor chips to Nuvia, and that the chips created using Nuvia’s own technology are also protected under Nuvia’s agreement with Arm.
The favorable ruling for Qualcomm is significant, as it paves the way for the chipmaker to continue developing performance-leading products that benefit consumers worldwide. The company’s Oryon ARM-compliant custom CPUs will remain protected by its contract with Arm.
Arm Holdings expressed disappointment at the jury’s decision and stated that it intends to seek a retrial due to the deadlock. However, the CEO Rene Haas maintained that the principles behind the lawsuit remain unchanged.
The acquisition of Nuvia has enabled Qualcomm to expand its product lineup and enter new markets, including the personal computer sector. The company’s Snapdragon X chips, which are currently used in laptops like Copilot Plus, will continue to benefit from the favorable ruling.
A mistrial on other allegations leaves open the possibility for a future retrial, but for now, Qualcomm can focus on further developing innovative products that benefit consumers worldwide, including its Oryon ARM-compliant custom CPUs.