Report: Arm cancels Qualcommβs architecture license, endangering its chip business
Any company that makes Arm chips must license technology from Arm Holdings plc, the British company that develops the instruction set. Companies can license the instruction set and create their own CPU designs or license one of Arm's ready-made Cortex CPU core designs to incorporate into their own chips.
Bloomberg reports that Arm is canceling Qualcomm's license, an escalation of a fight that began in late 2022 when Arm sued Qualcomm over its acquisition of Nuvia in 2021. Arm has given Qualcomm 60 days' notice of the cancellation, giving the companies two months to come to some kind of agreement before Qualcomm is forced to stop manufacturing and selling its Arm chips.
"This is more of the same from ARMβmore unfounded threats designed to strongarm a longtime partner, interfere with our performance-leading CPUs, and increase royalty rates regardless of the broad rights under our architecture license," a Qualcomm spokesperson told Ars. "With a trial fast approaching in December, Armβs desperate ploy appears to be an attempt to disrupt the legal process, and its claim for termination is completely baseless. We are confident that Qualcommβs rights under its agreement with Arm will be affirmed. Armβs anticompetitive conduct will not be tolerated.β