Arm has given 60-days notice that it’s canceling the architectural license that lets Qualcomm use Arm IP to design its chips. It’s an escalation of a feud dating back to 2022 after Qualcomm bought Nuvia and failed to negotiate a new license. Qualcomm contends it doesn’t have to.

Here’s Bloomberg:

Qualcomm sells hundreds of millions of processors annually — technology used in the majority of Android smartphones. If the cancellation takes effect, the company might have to stop selling products that account for much of its roughly $39 billion in revenue, or face claims for massive damages.

Oof! But this is a negotiation and the most likely outcome is Qualcomm and Arm reaching a deal — else both companies suffer.