WILMINGTON, Delaware, Dec 16 (Reuters) - The trial in a

legal battle between Arm and Qualcomm ( QCOM ) that

could disrupt a wave of artificial intelligence PCs is set to

begin on Monday in a Delaware courtroom.

A more than two-year fight has pitted Arm, which licenses

fundamental technology used to design chips, against Qualcomm ( QCOM ),

one of its largest customers and a leading designer of mobile

processors.

The jury trial is expected to begin on Monday with opening

arguments and run through Friday. Each side has been granted

about 11 hours to make their case. The jury was selected on

Friday.

Expected witnesses include Arm chief executive Rene Haas,

Qualcomm ( QCOM ) CEO Cristiano Amon and Nuvia founder Gerard Williams.

Williams was a senior executive in Apple's ( AAPL ) chip unit

and is currently a Qualcomm ( QCOM ) vice president.

The crux of the litigation is a contractual dispute over

Qualcomm's ( QCOM ) license agreement for the use of Arm's intellectual

property and its 2021 $1.4 billion acquisition of chip startup

Nuvia, which was founded by former Apple chip engineers,

including Williams.

Qualcomm ( QCOM ) used Nuvia's designs to create new low-powered AI

PC chips launched earlier this year that Microsoft ( MSFT ) and others

expect will help the Windows operating system regain ground lost

to laptops made by Apple.

Nuvia and Qualcomm ( QCOM ) each had licensing agreements with Arm

but with different financial terms. To use the designs based on

Nuvia technology, Arm has said Qualcomm ( QCOM ) must renegotiate the

Nuvia contract terms.

Qualcomm ( QCOM ) has said that its "well-established license rights"

cover any custom-designed central processing units (CPUs) and is

"confident those rights will be affirmed."

Arm has argued that Qualcomm ( QCOM ) should be required to destroy

the Nuvia designs and has not asked for monetary damages.

According to Bernstein analyst Stacy Rasgon, Qualcomm ( QCOM ) pays Arm

roughly $300 million a year in fees.

Britain-based Arm is owned by SoftBank Group, which

listed Arm in the U.S. in 2023.