UK-based chip design group Arm has sued one of its most important customers, Qualcomm, accusing the company of breach of contract and trademark infringement over its attempt to create new chip designs that effectively take it into direct competition with Arm itself.
The lawsuit, filed in federal district court in Delaware on Wednesday, centres on Qualcomm’s rights to use chip designs it acquired after buying chip start-up Nuvia last year.
The $1.4bn purchase of the two-year-old start-up, which was founded by former Apple and Google employees, has been seen as a critical step in Qualcomm’s attempts to design more efficient computer processors, or CPUs, complementing its core strengths in mobile communications.
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