Qualcomm wins key chips trial against Arm

Qualcomm achieved a significant win in a US federal court trial against Arm Holdings over licensing rights for its central processors. The jury concluded that Qualcomm’s chips, developed with Nuvia technology, are properly licensed under an agreement with Arm, ensuring the company can continue its expansion into laptop chipmaking.

Despite the ruling, the jury could not reach a unanimous verdict on whether startup Nuvia, acquired by Qualcomm in 2021 for $1.4 billion, breached its licence with Arm. Arm plans to seek a new trial, citing its commitment to protecting its intellectual property. The Delaware court judge encouraged both parties to mediate their dispute rather than pursue prolonged litigation.

The outcome supports Qualcomm’s ambitions in the laptop market, where it aims to challenge competitors such as Nvidia, AMD, and MediaTek with its AI-focused chips. Analysts see reduced risk to Qualcomm’s roadmap, particularly regarding access to Nuvia’s custom core designs, which are central to its strategy.

The trial highlighted broader industry implications for licensing agreements and intellectual property rights involving Arm’s architecture. Arm, which licenses its designs to major companies like Apple and Qualcomm, sought higher royalties from Qualcomm after its acquisition of Nuvia. While the legal battle continues, Qualcomm’s victory signals a strong position in the emerging PC market for Arm-based processors.