Arm will seek a new trial against Qualcomm

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(Image credit: Arm)

Arm plans to demand a retrial of part of its licensing lawsuit against Qualcomm after a mixed outcome in the blockbuster trial was delivered on Friday, the company says. A jury unanimously decided two out of three counts in Qualcomm's favor, but it deadlocked on the question of whether Nuvia, acquired by Qualcomm, had breached its own agreement with Arm.

"We are disappointed that the jury was unable to reach consensus across the claims," a statement by Arm reads. "We intend to seek a retrial due to the jury’s deadlock. From the outset, our top priority has been to protect Arm’s IP and the unparalleled ecosystem we have built with our valued partners over more than 30 years."

Yesterday, Qualcomm won its legal battle against Arm over allegations that it violated licensing agreements related to its Snapdragon X processors, which feature Oryon cores originally developed by Nuvia for data center processors under a different license agreement from Arm.

The IP developer was unhappy that Nuvia's technology would be used for client devices. Also, Arm claimed Nuvia's licensing terms did not transfer automatically with the acquisition by Qualcomm in 2021 and demanded the terms be renegotiated.

Qualcomm argued that its existing Arm instruction set architecture license covered technology developed by its subsidiaries, including Nuvia. Arm then demanded that Qualcomm discard Nuvia designs, something Qualcomm did not do. Instead, it launched the Snapdragon X processor line for client PCs.

Gerard Williams III, the lead developer of Oryon cores and a former Apple engineer, testified that the design contained less than 1% Arm technology. This supported Qualcomm's position that the Snapdragon X processors adhered to its licensing agreements, allowing continued development and sale of the chips.

While the jury cleared Qualcomm of wrongdoing, it could not agree on whether Nuvia breached its own licensing terms with Arm. If Arm takes this back to trial, it would only be able to relitigate this count as the other two have already been decided.

Anton Shilov
Contributing Writer

Anton Shilov is a contributing writer at Tom’s Hardware. Over the past couple of decades, he has covered everything from CPUs and GPUs to supercomputers and from modern process technologies and latest fab tools to high-tech industry trends.

  • Notton
    "We are disappointed that the jury was unable to reach consensus across the claims"
    "The jury unanimously decided"
    ??????????????
    Reply
  • hotaru251
    Notton said:
    "We are disappointed that the jury was unable to reach consensus across the claims"
    "The jury unanimously decided"
    ??????????????
    exactly.
    the jury didn't reach a unanimous consensus...
    Reply
  • thestryker
    There seemed to be 3 claims ruled on in this trial:
    Nuvia violated their agreements with Arm
    Qualcomm violated those agreements upon acquisition of Nuvia
    Qualcomm cannot make these SoCs under their existing ALAThe jury couldn't come to a unanimous verdict on the first claim, but ruled in Qualcomm's favor for the other two.

    While Arm has left the door open for further litigation I don't think that would be a smart move at this point. The judge said that it's unlikely to have a different outcome and the two companies should come to a resolution outside of court. I don't think this is over by any stretch of the imagination but I do think it won't be back in court any time soon. I also assume Arm will not actually cancel Qualcomm's ALA, but have seen nothing one way or the other yet.
    Reply
  • Kondamin
    I hope Qualcomm is putting a lot of money and effort towards risc v android and windows so they can get away from that timebomb
    Reply
  • Marco_il_bello
    Only one thing I know for sure, the CEO of Arm will lose his job, he has filed a lawsuit against one of his largest customers for millions of dollars and yet your stock has lost and continues to lose billions of dollars since he made the announcement, in the middle of the Ai wave where they just had to go up
    Reply
  • Marco_il_bello
    Kondamin said:
    I hope Qualcomm is putting a lot of money and effort towards risc v android and windows so they can get away from that timebomb
    yeah but i read that in the court Qualcomm used only 1% of Arm so maybe they are already going out
    Reply