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Qualcomm gains ‘significant leverage’ after favorable Arm ruling, says JPMorgan
The Fly

Qualcomm gains ‘significant leverage’ after favorable Arm ruling, says JPMorgan

JPMorgan argues the Delaware District Court judgement favoring Qualcomm (QCOM) in a lawsuit with Arm (ARM) “first and foremost puts to bed a lot of uncertainty in the mind of investors relative to financial implications of an unfavorable judgement and potentially any effect from cancellation of a license.” Despite the favorable outcome, the firm would not rule out further litigation from Arm and potentially a “more amicable approach” from Qualcomm to allow tweaking of the financial terms of ALA licenses in the medium-term, but the ruling on Friday “handed Qualcomm a significant leverage for any future litigation,” adds the analyst, who keeps an Overweight rating on Qualcomm shares.

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