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Arm Holdings is suing Qualcomm for allegedly breaching a licensing agreement. But a jury today found it could not reach a conclusion on one of the allegations and found in Qualcomm’s favor on the other.
Arm sued Qualcomm after Qualcomm acquired Arm licensee Nuvia for $1.4 billion. The jury was unable to reach an agreement on whether Nuvia violated its license agreement, but also said Qualcomm did not violate Nuvia’s license to Arm.
“We are pleased with today’s decision,” Qualcomm said in a statement. “The jury upheld Qualcomm’s right to change and affirmed that all Qualcomm products at issue in the case are protected by Qualcomm’s contract with ARM. We will continue to develop performance-leading, world class products that benefit consumers around the world, with our unique Oryon ARM-compliant custom CPUs.
The jury said Qualcomm properly licensed its central processor chips. Arm shares declined in after-hours trading, while Qualcomm shares were flat. The case held in the US federal court in Delaware can be tried again.
The jury also found that Qualcomm’s chips, made using Nuvia’s own technology, were properly licensed under Nuvia’s agreement with Arm. That means Qualcomm can continue to sell them. The chips are helping Qualcomm move into 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 seek retrial due to the jury deadlock. From the beginning, our top priority has been protecting Arm’s IP and the unparalleled ecosystem we’ve built with our valued partners for over 30 years.As always, we’re committed to driving innovation in our rapidly evolving market and serving our partners while advancing the future of computing.
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