Qualcomm's CEO testified that Arm Holdings misled customers about licensing agreements crucial to the chip ecosystem, negatively impacting Qualcomm's business. The legal conflict revolves around Qualcomm's $1.4 billion acquisition of Nuvia, a chip design start-up, and the licensing of ARM architecture technology. Qualcomm argues that its Oryon CPU architecture, based on ARM's instruction set, was developed using Nuvia's technology. Arm insists that Nuvia's acquisition should have led to a renegotiation of agreements, demanding Qualcomm destroy all proprietary designs from Nuvia.
This dispute between Qualcomm and Arm is critical, as many tech companies depend on their chip designs. The trial's outcome could influence future intellectual property licensing agreements. Qualcomm aims to expand its market share in PCs, AI, and automotive processors using Nuvia's innovative technology, asserting it falls under existing agreements with Arm.