Armed lawsuit against Qualcomm ends in mistrial and favorable ruling for Qualcomm

Arm Holdings sued Qualcomm for allegedly breaching a licensing agreement. But today a jury determined that it could not reach a conclusion on one of the allegations and ruled in favor of Qualcomm on another.

Arm sued Qualcomm after Qualcomm acquired Arm licensee Nuvia for $1.4 billion. The jury could not reach an agreement on whether Nuvia violated its licensing agreement, but also said that Qualcomm did not violate Nuvia’s license with Arm.

“We are pleased with today’s decision,” Qualcomm said in a statement. “The jury vindicated Qualcomm’s right to innovate and affirmed that all Qualcomm products at issue in the case are protected by Qualcomm’s contract with ARM. “We will continue to develop world-class, performance-leading products that benefit consumers around the world, with our incredible custom Oryon ARM-compatible CPUs.”

The jury found that Qualcomm had properly licensed its central processor chips. Arm shares fell in after-hours trading, while Qualcomm shares rose slightly. The case brought before the US federal court in Delaware could be retried.

The jury also found that Qualcomm’s chips, which were created using Nuvia’s own technology, are properly licensed under Nuvia’s agreement with Arm. That means Qualcomm can continue selling them. Those chips are helping Qualcomm enter the personal computer market.

In a statement, Arm said: “We are disappointed that the jury was unable to reach a consensus on the claims. We intend to request a new trial due to the jury’s deadlock. From the beginning, our top priority has been protecting Arm’s intellectual property and the unparalleled ecosystem we have built with our valued partners for more than 30 years. “As always, we are committed to fostering innovation in our rapidly evolving market and serving our partners as we advance the future of computing.”

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