Qualcomm has initiated a new lawsuit against Arm in a Delaware federal court, alleging that the chip designer failed to provide necessary chip testing tools as required by their contract. Qualcomm also claims that Arm leaked information regarding its 2024 intent to terminate a key licensing agreement, which allegedly harmed Qualcomm's negotiations with Meta Platforms.
In the lawsuit, Qualcomm seeks to suspend royalty payments to Arm for up to five years, a sum potentially reaching billions of dollars. The court is also evaluating whether to invalidate specific contract clauses, which could limit the total compensation Qualcomm might receive. Arm, owned by SoftBank Group, denies these allegations and argues that Qualcomm's claims of damages are speculative.
Arm further contends that Qualcomm is not entitled to damages for the alleged information leak, citing Qualcomm's own previous disclosure of confidential details regarding antitrust investigations into Arm. The upcoming five-day jury trial marks the latest chapter in the companies' ongoing legal disputes, following a previous conflict that began in 2022 and saw a ruling in favor of Qualcomm in 2024.
A separate bench trial will address whether Arm negotiated in good faith regarding future chip design technologies. The current licensing agreement between the two companies remains in effect until 2033.
