Qualcomm and Arm: Escalation of the Patent War over Nuvia Technologies
13:50, 25.10.2024
Arm has decided to revoke the license that allowed Qualcomm to use its intellectual property for chip development. The British chip developer has issued the required 60-day notice before terminating the agreement, which could significantly impact Qualcomm’s business. The chip manufacturer produces hundreds of millions of processors annually, used in Android smartphones, and losing the license could lead to a halt in sales or new legal claims.
Disputes Over Nuvia's Designs
The legal battle between the companies began in 2022 when Arm filed a lawsuit against Qualcomm, accusing it of breaching contractual obligations and trademark rights. The disagreements are related to Qualcomm's acquisition of the Nuvia startup in 2021, which also had a license from Arm. Nuvia develops microprocessors that have become the foundation for Qualcomm's new chips for personal computers, including AI-powered laptops. This week, Qualcomm announced plans to integrate Nuvia's technology, called Oryon, into Snapdragon chips.
Future Cooperation and Strategic Shifts at Arm and Qualcomm
Arm claims that Qualcomm violated the license terms by using Nuvia's designs created before the startup was acquired. If the license is revoked, Qualcomm will lose the ability to use Arm’s instruction set for its chip development. The company could still enter new licensing agreements for individual products, but this would cause delays in the release of new chips.
Currently, under the leadership of Rene Haas, Arm is shifting its strategy to offer complete designs for contract manufacturers, allowing it to earn more from engineering work. Meanwhile, Qualcomm, led by Cristiano Amon, is working to reduce its reliance on Arm technologies, but it remains a significant customer for the British company.