Snapdragon and ARM dispute

US Stock Discussions
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Does anyone has any update about the ARM dispute and how it will impact Snapdragon ?

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Some background for folks who don’t know about the issue:

The dispute started when Qualcomm acquired Nuvia, a startup working on custom CPU designs, back in 2021. Arm claims that Nuvia’s licenses to use Arm’s architecture weren’t transferable to Qualcomm and demanded renegotiation. Qualcomm disagrees, saying its existing Arm licenses cover Nuvia’s work. Now, Arm is asking the courts to force Qualcomm to destroy any designs based on Nuvia’s architecture.

My take TDLR: Qualcomm is right here, and Arm is being short-sighted.

Arm’s lawsuit against Qualcomm over the Nuvia acquisition feels like a desperate move to exert control in a changing industry. Qualcomm has been a loyal partner of Arm for years, driving massive adoption of Arm-based architectures in mobile, laptops, and automotive. Now, when Qualcomm makes a bold move to innovate with custom cores from Nuvia, Arm suddenly cries foul?

Here’s why I think Qualcomm is right

  1. Qualcomm argues that its existing Arm architecture licenses should cover Nuvia’s work. Arm insisting on renegotiation feels like it’s trying to double-dip on licensing fees.
  2. Qualcomm bought Nuvia to break free from the cookie-cutter cores Arm provides to everyone. Custom cores mean Qualcomm could finally compete with Apple’s M-series chips, which have been eating everyone’s lunch in the laptop space.
  3. If Arm pushes too hard, Qualcomm might just move to RISC-V, an open-source architecture that’s rapidly gaining traction. Losing Qualcomm would be a huge blow to Arm’s dominance.

Arm wants to profit from every move Qualcomm makes, but what happens if Qualcomm walks away? This isn’t just bad for Qualcomm—it’s bad for device manufacturers and consumers who rely on Snapdragon-powered devices.

This trial could set a dangerous precedent for the entire semiconductor industry. Qualcomm’s innovation is what keeps competition alive, and Arm risks throwing a wrench in that progress.

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On a separate note,

If Arm wins, it could have massive consequences for Qualcomm’s Snapdragon chips:

  • Qualcomm has been relying on Nuvia’s custom designs to push Snapdragon to the next level, especially for laptops and high-performance devices.

  • Without custom cores, Qualcomm may struggle to compete with Apple (which already dominates custom CPU design) and MediaTek.

  • Device manufacturers (smartphones, laptops, etc.) depending on Snapdragon chips could face delays or supply issues.

I would still bet on Qualcomm and take advantage of the dip.

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https://c.tenor.com/CKhZVlMAi-wAAAAd/tenor.gif(image larger than 50 MB)

Courtroom is boring. This is how they should settle disputes.