Qualcomm successfully defends integration of Nuvia technologies, winning a lawsuit against ARM
Qualcomm has successfully defended itself in a lawsuit against ARM Holdings for breach of licence agreement. The dispute arose after Qualcomm acquired startup Nuvia for $1.4bn in 2021.
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ARM claimed that Qualcomm wrongfully used Nuvia's chip technology without paying a higher licence fee. However, a federal jury found that Qualcomm did not violate the terms of its agreement with ARM and that all Qualcomm products at issue in the case were protected by Qualcomm's contract with ARM. The jury was also unable to decide whether Nuvia had breached its licence, leaving the issue open for a potential retrial.
ARM argued that the acquisition of Nuvia should have triggered a renegotiation of the licence terms. Qualcomm, however, argued that it has a separate licence agreement with ARM that covers the use of ARM technology in its products.
This unresolved issue could lead to additional lawsuits. ARM expressed frustration with the jury's inability to reach consensus on all counts. The company said it intends to seek a retrial on the issue of whether Nuvia breached its licence agreement.
Qualcomm was pleased with the jury's decision and said it will continue to develop world-class high-performance products on the new Oryon architecture that will benefit consumers around the world.