Arm Holdings has given Qualcomm a 60-day notice of cancellation of the license agreement which allows the company to use Arm’s intellectual property, according to a report.

KEY TAKEAWAYS Qualcomm shares are falling in premarket trading Wednesday following a report that Arm Holdings is canceling a license that allows the British chip designer’s intellectual property in the U.

Legal battle over licensing could impact Qualcomm's future chip designs and market position. Arm Holdings Ltd. said it will cancel a chip architectural license agreement with Qualcomm Inc. over a dispute over mobile technology between the two companies,