Qualcomm has adopted the newest version of Arm Holdings’ chip architecture for its next generation of flagship processors, aiming to strengthen performance in artificial intelligence (AI) and better compete with Apple and MediaTek, according to sources familiar with the matter.
The decision represents a significant turning point in the relationship between the two companies after last year’s legal clash, which had raised doubts about whether Qualcomm would continue relying on Arm’s technology. The move is also expected to boost Arm’s revenue, as the company charges more for licensing its most advanced technology.
Arm’s shares rose 5% in regular trading after Reuters reported Qualcomm’s shift to its Arm v9 instruction set — the ninth generation of the company’s computing architecture.
AI PERFORMANCE AT THE CORE
Unlike previous generations, Qualcomm’s new PC and smartphone chips will incorporate Arm’s v9 architecture, which includes several enhancements tailored for AI tasks such as chatbots, image generation, and on-device learning.
Competitors MediaTek and Apple already use the v9 standard, which defines the fundamental instructions a processor can execute and determines compatibility with apps and software.
A Qualcomm spokesperson declined to confirm specific technologies but said the company’s internal CPU design team enables flexibility:
“We chose the instructions that make sense for our customers. That’s the beauty of having our own CPU design team — we can pick and choose the instructions that add value,” the company said.
LEGAL RIFTS GIVE WAY TO PRACTICALITY
The decision marks a pragmatic end to a strained chapter in Qualcomm and Arm’s relationship. The two companies had been locked in a licensing dispute after Arm threatened to revoke a key agreement, though it later withdrew the threat.
Despite the tensions, Qualcomm’s choice to stick with Arm’s latest architecture is seen as a vote of confidence in Arm’s long-term ecosystem.
Jay Goldberg, senior analyst at Seaport Research Partners, called the decision “very positive for Arm,” adding:
“These are companies that were fighting each other. Qualcomm could have gone a very different path here.”
ARM STRENGTHENS ITS POSITION
While Arm faces emerging competition from RISC-V, an open-source alternative architecture, analysts note that RISC-V remains decades behind in maturity and lacks a comparable developer community.
Because Qualcomm licenses Arm’s architecture rather than buying complete chip designs, the exact revenue impact for Arm is uncertain. However, the shift underscores Arm’s enduring dominance in mobile and AI chip design.
As AI workloads increasingly drive hardware innovation, Qualcomm’s adoption of Arm’s newest architecture signals that the next wave of chips will focus as much on intelligence and adaptability as on speed and power efficiency.
