Wednesday, October 23rd 2024
Arm Plans to Cancel Qualcomm's License, Issues 60-Day Notice
According to Bloomberg, Arm Holding PLC, the holding company behind the Arm instruction set and Arm chip designs, just issued a 60-day notice period of license retirement to Qualcomm, its long-time partner. The UK-based ISA provider has notified Qualcomm that it will cancel the Arm ISA architectural license agreement after the contract-mandated 60-day notice. The issues between the two arose in 2022, just a year after Qualcomm acquired Nuvia and its IP. Arm filed a lawsuit claiming that the reason was "Qualcomm attempted to transfer Nuvia licenses without Arm's consent, which is a standard restriction under Arm's license agreements." To transfer Nuvia core licensing, Qualcomm would need to ask Arm first and create a new licensing deal.
The licensing reworking came just in time when Qualcomm experienced its biggest expansion. The new Snapdragon 8 Elite is being used in the mobile sector, the Snapdragon X Elite/Plus is being used in Copilot+ PCs, and the automotive sector is also getting the new Snapdragon Cockpit/Ride Elite chipsets. Most of that is centered around Nuvia Oryon core IP, a high-performance, low-power design. Arm's representatives declined to comment on this move for Bloomberg, while a Qualcomm spokesman noted that the British company was trying to "strong-arm a longtime partner."
Sources:
Bloomberg, via VideoCardz
The licensing reworking came just in time when Qualcomm experienced its biggest expansion. The new Snapdragon 8 Elite is being used in the mobile sector, the Snapdragon X Elite/Plus is being used in Copilot+ PCs, and the automotive sector is also getting the new Snapdragon Cockpit/Ride Elite chipsets. Most of that is centered around Nuvia Oryon core IP, a high-performance, low-power design. Arm's representatives declined to comment on this move for Bloomberg, while a Qualcomm spokesman noted that the British company was trying to "strong-arm a longtime partner."
QualcommThis is more of the same from Arm - more unfounded threats designed to strongarm a longtime partner, interfere with our performance-leading CPUs, and increase royalty rates regardless of the broad rights under our architecture license. With a trial fast approaching in December, Arm's desperate ploy appears to be an attempt to disrupt the legal process, and its claim for termination is completely baseless. We are confident that Qualcomm's rights under its agreement with Arm will be affirmed. Arm's anticompetitive conduct will not be tolerated.
42 Comments on Arm Plans to Cancel Qualcomm's License, Issues 60-Day Notice
The problem there is does a license to use something to design a product / asset mean that the licensor has additional control over that product/asset in terms of future development and how it's used...? Without the contracts being made public that is hard to answer.
I'm not sure how enforcable the use of a general purpose CPU core being restricted to certain market segments actually is - if it's a soft limitation based on royalty payments, etc., then again I expect this to be settled.
To complicate that even more, the designs are (supposedly / by all accounts) NOT using ARM standard customer IP (i.e. not using Cortex-A/X) cores - the CPU core design is Nuvia/Qualcomm customised - so what say can ARM really have there...?
I sense there is likely an 'intent' in the contracts for ARM to maybe try to enforce this approach but I suspect there is enough ambiguity in the contract itself (i.e. this specific type of scenario regarding taking over someone else's IP and assimilating it) that Qualcomm think they can defend their position.
The summary version of ARM's claim is "that Qualcomm violated the license agreement by using designs from Nuvia without Arm's approval" - we have no idea what rights of ownership ARM has on those designs (which are legitimately now Qualcomm assets in terms of whatever ownership Nuvia had). If those designs utilise say some amount of the ARM Cortex IP blocks directly, then ARM possibly have a credible case in terms of some right of approval / ownership. Surely that's Apple's problem and if true they could pursue effectively themselves - and get the payout directly from any judgement rather than some latent gain.
We should have less companies like Qualcomm.
I wish Qualcomm consider an option of porting as many as possible ARM-based IPs to RISC-V.
Even worse, future contracts on tech like this might restrict your business in some way.
I'm tell you, this affair means the end of a possible ARM dominance.
In terms of licensing things on a car, there are plans and management type morons trying to introduce such things but for now it only exists on very few things that can be justfied (i.e. live services). There are a miriad that are sold as options but can be enabled with a simple code variable but that always happened and that's it, it's active and done, no one will revoke it later. They were proposing that licensing model. I don't know if it went through but they wanted to receive a royaltee from say Google, Samsung, Motorola, etc. for each phone sold using a product that includes ARM licenses.
Basically Softbank trying to turn ARM into a money making machine after the nvidia sale went bust. To a point that's normal and Apple is notorious for being very dishonest and working with suppliers only until it's able to replicate the IP. They'd need to convice everyone else to make their software work on RISC-V and the performance is not really there yet for general purpose computing. But this behaviour from ARM is just another nail on it's coffin, everyone else is watching just like they were when the nvidia aquisition was looming.
And for everyone saying that Arm is evil for trying to impose a per-CPU-sold license cost, being screwed over by licensees like QC is likely a big drive towards that, AKA "if you're gonna stiff us we're gonna stiff you".
They have abused everyone with their modems patents.
About RISC-V, yeah..give it a decade to be anywhere near what ARM is today. Arm lives and dies by their IP and licensing deals, so what should they do when one of their licensees tries to play stupid and break the contract? In case that many are not aware, Apple was a founding member of Arm and only they know the deal they have, which is clearly beyond the fact of Apple owning and selling their stakes at the company.
I find it really funny how many are blindly defending poor Qualcomm against the abusive and evil Arm.