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1) I think Apple could easily argue it was planning on leveraging it's chip design and manufacturing expertise into other areas. That's pretty reasonable. I could be seem them exploring licensing some of their IP to other manufacturers for example - ARM servers are gaining traction and Apple is a leader in the ARM space

2) Seems like the whole "rival" piece is not material to the lawsuit itself and is just a bit of editorializing on Reuters' part. The lawsuit probably centers on duty of loyalty and breach of contract

...but...they do? Qualcomm Centriq directly competes with Xeons (or is intended to) and they build wireless solutions for devices and until recently directly competed on smartphone modems!

Such a powerful rival, I wasn't even aware of the competing product. OK, pick another one of three dozen ARM manufacturers as an example.

I agree that Nuvia doesn't compete with Apple but Qualcomm is actually a rival of Intel now because of their 8cx platform that's going into ultrabooks.