Context:
- Qualcomm and Arm have been engaged in a long-running contractual dispute, encompassing multiple district court and appellate cases, over use of Arm’s processor architecture IP.
- In one such case, filed in the United States District Court for the District of Delaware in April 2024, Qualcomm claimed that Arm had breached an architecture license agreement it believed existed between the two parties by, among other things, failing to deliver paid-for deliverables under the said agreement.
- Qualcomm also argued that Arm had damaged its business by, among other things, leaking stories to the press indicating it would cancel Qualcomm’s licenses (October 23, 2024 Reuters article); according to Qualcomm, this had a direct, negative impact on negotiations over a multimillion-dollar chip supply deal it was holding with Meta.
- Seeking remedy, Qualcomm asked the court to suspend its royalty payments to Arm for up to five years, which would amount to billions of dollars in damages (October 5, 2026 Quartz article).
What’s new:
- Today, a jury found that Arm had intentionally breached contract by withholding certain deliverables due to Qualcomm. The jury awarded a grand total of $1 damages to Qualcomm for these contractual breaches.
- The jury also found that Arm had “intentionally [and] negligently interfered” in Qualcomm’s relationship with Meta, awarding a further $1 in damages.
Direct impact: Several cases in this dispute are ongoing, including Arm’s appeal of an earlier district court win for Qualcomm. This jury verdict could also be appealed, though both sides are presently claiming to be satisfied with the outcome (see below).
Wider ramifications: While not an infringement case per se (nor a patent case specifically, though Arm’s architecture licenses presumably include patents among other IP), Qualcomm v. Arm does remind us that even between parties who are seasoned licensing players there is still scope for massive, costly, and disruptive disputes – particularly in the increasingly high-stakes world of semiconductor technologies. Both Qualcomm and Arm have announced partnerships with Meta in recent months (March 24, 2026 The Verge article).
Qualcomm sent the following statement to ip fray:
“We are gratified that the jury found Arm breached its long-standing Architectural License Agreement with Qualcomm, failed to honor its commitments, and intentionally acted to disrupt Qualcomm’s businesses. Together with Qualcomm’s prior court victory, this outcome further exposes Arm’s broader intentions to harm Qualcomm and its ecosystem. This outcome is a victory for innovation and competition, and we remain focused on developing and delivering industry-leading semiconductor products including our Oryon CPUs to customers and consumers worldwide.”
Arm said the following in a press release it put out just after the jury verdict:
“We are pleased with the jury’s decision today finding for Arm on four claims and awarding only one dollar in damages on each of Qualcomm’s other two claims. Despite Qualcomm’s pursuit of this case in an attempt to deprive Arm of billions of dollars under our license agreements, the jury’s verdict confirms that Arm operated in good faith under its technology license agreement and its award of only two dollars confirms the merit of Arm’s arguments in the case. We remain focused on delivering world-leading technology, enabling innovation across the semiconductor industry and creating long-term value for our customers, partners and shareholders.”
Court and counsel
Judge: District Judge Maryellen Noreika
Qualcomm is represented by Morris, Nichols, Arsht & Tunnell’s Jennifer Ying and Travis Murray; Dunn Isaacson Rhee’s Karen L. Dunn, William A. Isaacson, Melissa F. Zappala, Jenifer N. Hartley, Erica Spevack, Leah R. Hibbler, and Erin J. Morgan; Paul Weiss’ Catherine Nyarady, Jacob A. Braly, Jacob Apkon, and William T. Marks, and Clement & Murphy’s Erin E. Murphy and Kevin Wynosky.
Arm is represented by Young Conaway Stargatt & Taylor’s Anne Shea Gaza, Robert M. Vrana, and Daniel G. Mackrides; Kirkland & Ellis’ Gregg F. LoCascio, Jason M. Wilcox, Kasdin Mitchell, and Jay Emerick; and Morrison & Foerster’s Scott F. Llewellyn.