Qualcomm Inc. prevailed at trial against Arm Holdings Plc’s claim that it breached a license for chip technology that the world’s largest maker of mobile-phone processors acquired when it bought a startup in 2021.
Qualcomm bought nuvia, which had a broad license to use ARM’s IP. They used said IP to make chips.
ARM claims that the change in ownership somehow invalidates the license and they were required to renegotiate new terms.
They couldn’t convince a jury because that doesn’t make sense without very specific terms explicitly detailing exactly what conditions nullify their license agreement.
I don’t know why a blanket, terms not transferable upon sale, wouldn’t have covered it, but either that is too broad or didn’t exist in the original Nuvia contract.
I agree but that doesn’t really have anything to do with what’s in the Nuvia contract. I assume you mean it wouldn’t be the norm to have not transferrable in there.
Yeah, the terms would probably be legal, but they’d be so prohibitive that most companies wouldn’t sign them. Having to get a new license to key technology negotiated when you want to sell is a huge handicap.
Qualcomm bought nuvia, which had a broad license to use ARM’s IP. They used said IP to make chips.
ARM claims that the change in ownership somehow invalidates the license and they were required to renegotiate new terms.
They couldn’t convince a jury because that doesn’t make sense without very specific terms explicitly detailing exactly what conditions nullify their license agreement.
I don’t know why a blanket, terms not transferable upon sale, wouldn’t have covered it, but either that is too broad or didn’t exist in the original Nuvia contract.
Companies get acquired all the time. Losing licenses is not the norm.
I agree but that doesn’t really have anything to do with what’s in the Nuvia contract. I assume you mean it wouldn’t be the norm to have not transferrable in there.
Yeah, the terms would probably be legal, but they’d be so prohibitive that most companies wouldn’t sign them. Having to get a new license to key technology negotiated when you want to sell is a huge handicap.
Ok, thanks! Yeah I’m from everything I heard it seems that ARM is just whining.