Arm accuses Qualcomm of breaching agreements after buying Nuvia and losing $50m in royalties per year

Arm has sued Qualcomm, claiming that its 2021 acquisition of startup Nuvia violates licence agreements.

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Arm claims that Qualcomm is using Nuvia's designs to create high-performance Snapdragon X Elite processors for PCs, depriving Arm of about $50 million in annual revenue. Qualcomm, in turn, claims that Arm is trying to limit its expansion into the PC market, where Arm also has ambitions.

At the centre of the dispute are the licence fees that Qualcomm pays to Arm. Arm is demanding that it stop using Nuvia's technologies and destroy all chips based on those designs. If the court sides with Arm, Qualcomm could lose the right to sell Snapdragon X Elite, Snapdragon X Plus and Snapdragon 8 Elite processors that use Nuvia technologies. A court ruling is expected soon and could significantly affect the future of both companies.

Source: arstechnica