Arm's power play will backfire
By Jon Peddie (October 25, 2024)
It was stupid to bring the dispute into the public arena.
Arm’s attempts to increase licensing fees for companies like Qualcomm have led to a public dispute, highlighting concerns over future smartphone supply chains. Qualcomm received a termination notice for its architectural license, but it, along with Apple and Nvidia, could potentially shift away from Arm, thanks to their own CPU designs or alternatives like RISC-V. Arm’s public approach has backfired, negatively affecting its share price, and risks long-term business relationships, raising consumer and investor concerns over higher prices.
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