Chip company Arm sues Qualcomm over licensing issues arising from the latter's acquisition of a company.

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Arm is suing Qualcomm for breach of contract and trademark infringement as the chip company, which is owned by SoftBank Group, goes to court against its own major customer.

The conflict centers on Qualcomm's acquisition of chip startup Nuvia Inc. last year. According to the lawsuit filed in U.S. District Court in Delaware, the company developed chip designs under license from Arm, which cannot be transferred to Qualcomm without consent. arm said Nuvia's license was terminated in February after negotiations failed to reach an agreement.

"Because Qualcomm attempted to transfer Nuvia's license without Arm's consent, which is a standard limitation of Arm's license agreements, Nuvia's license was terminated in March 2022," Arm said in a statement. "Prior to and since this date, Arm has made numerous good faith efforts to seek a resolution."

Qualcomm said its license with Arm covers custom-designed processors, and the complaint disregards that.

"Arm's filing of the lawsuit marks a regrettable departure from its long and fruitful relationship with Qualcomm," Qualcomm's statement said. "Arm has no right, contractually or otherwise, to interfere with Qualcomm's or Nuvia's innovations."

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