This scenario would not only harm Qualcomm but also Arm, as the company relies heavily on its customers' success. The cancellation could also lead to a domino effect, with other chipmakers and customers struggling to find alternative suppliers, further exacerbating the disruption.

Moreover, Arm's cancellation of the license agreement may be seen as a hollow threat, as Qualcomm is unlikely to be severely impacted by the loss of this agreement. Qualcomm has a diverse portfolio of customers and a strong balance sheet, allowing it to weather any potential disruptions.