Qualcomm shares fell in premarket trade after Bloomberg reported that British chip designer Arm is looking to scrap a key license for the U.S. firm.

Arm Holdings Plc is canceling a license that allowed longtime partner Qualcomm Inc. to use Arm intellectual property to design chips, escalating a legal dispute over vital smartphone technology.Arm, based in the UK,

The chip technology company Arm has given Qualcomm 60 days notice, according to Bloomberg. Arm has reportedly canceled a license granted to Qualcomm to design chips based on its chip technology, according to a Bloomberg report on Tuesday.