Intriguing Twist: Arm Holdings to Revoke Qualcomm's Chip Design License

According to Bloomberg News, Arm Holdings (NASDAQ:ARM) is terminating an architectural license agreement that permits Qualcomm to use its patents for chip design, amid an ongoing legal battle between the two companies. The report notes that Arm issued a mandatory 60-day notice of termination to Qualcomm, highlighting that the agreement allowed Qualcomm to create its own chips based on standards owned by Arm. Arm, mostly owned by Japan's SoftBank Group and based in the UK, sued Qualcomm in 2022 after the latter acquired Nuvia without negotiating a new license. Arm had previously stated that the existing design planned for Microsoft (NASDAQ:MSFT)'s Copilot+ laptops was a direct technical descendant of Nuvia's chip and consequently revoked the license for these chips.