Both sides are playing hardball. The likely outcome is probably a settlement and all the legal wrestling is just negotiation tactics. We're talking about two co

Both sides are playing hardball. The likely outcome is probably a settlement and all the legal wrestling is just negotiation tactics. We're talking about two companies whose primary business model is licensing intellectual property; so they both know how to play this game very well. Neither Qualcomm nor ARM directly manufacturers or sells products; they both make money from licensing stuff to third parties. And it looks like Qualcomm is cutting some corners there and is now putting their customers on the spot with this. Which no doubt is not going down well with those. So, my guess is that Qualcomm will try to eventually fix this by throwing money at it and striking some deal with ARM. The question is just going to be how much. ARM is just twisting their arm (no pun intended) with this. But I agree that at face value they are well within their rights to escalate this. And given that their core business is selling ARM licenses, making sure that they get their money from Qualcomm kind of is their core business.