They’re only losing their license to make custom cores. They’re still free to use ARMs own cores.
The reason being that ARM gave Nuvia a license to design cores at a specific rate, then Qualcomm bought them to use those cores. ARM claims that the license to design cores does not have a transferable rate to it.
Now Qualcomm does not want to continue to use any Arm cores, both because their own cores are better and because that would save them the cost for royalties.
Obviously, Arm tries to prevent Qualcomm from using their own cores, because this time Arm would lose a major source of their revenue if Qualcomm stopped licensing cores.
When Arm has given architectural licenses to Qualcomm and Nuvia, they were not worried about competition, because Qualcomm could not design good cores, while Nuvia had no perspective of selling so many cores for this to matter.
The merging of Nuvia into Qualcomm has changed completely the possible effect of those architectural licenses, so Arm probably considers that giving them has been a big mistake and they now try to mend this by cancelling them, with the hope that they will convince justice that this is not illegal.
For any non-Arm employee or shareholder, it is preferable for Arm to lose, unless the reduction in revenue for Arm would be so great as to affect their ability to continue to design improved cores for other companies and for other applications, but that is unlikely.
ARM also doesn’t seem to care if QC design their own cores. They just care that they renegotiate the royalty agreement. This is clear if you actually read their statements.
Because Arm wants to increase the royalties for the cores designed by Qualcomm, that is a pretty certain indication that these royalties have been smaller than for the cores licensed from Arm.
Therefore Arm cares a lot if Qualcomm designs their own cores, because that would cause a smaller revenue for Arm.
If Arm had not cared whether Qualcomm designs their own cores, they would have never sued Qualcomm.
The official reason why Arm has sued Qualcomm, is not for increasing the royalties, because that has no legal basis.
It is obvious that the lawsuit is just a blackmail instrument to force Qualcomm to pay higher royalties for the cores designed by them, but the official object of the lawsuit is to forbid Qualcomm to design their own cores, by claiming that the Oryon cores used in the new Qualcomm chipsets for laptops, smartphones and automotive applications have been designed by violating the conditions of the architectural licenses granted by Arm to Qualcomm and Nuvia, so Arm requests that Qualcomm must stop making any products with these Arm-compatible cores and they must destroy all their existing core designs.
ARM want to raise the royalties for the cores designed by Nuvia, whose IP has now permeated all of Qualcomms IP.
Again, your comments are pure conjecture not based on anything factual. I might as well just start saying how QC wants to rip off ARM IP and it would be as factually relevant as your comments.
The reason being that ARM gave Nuvia a license to design cores at a specific rate, then Qualcomm bought them to use those cores. ARM claims that the license to design cores does not have a transferable rate to it.