Get 40% Off
🚀 AI-picked stocks soar in May. PRFT is +55%—in just 16 days! Don’t miss June’s top picks.Unlock full list

GlobalFoundries sues TSMC, wants U.S. import ban on some products

Published 27/08/2019, 11:31
© Reuters. A logo of Taiwan Semiconductor Manufacturing Co (TSMC) is seen at its headquarters in Hsinchu
GOOGL
-
QCOM
-
AAPL
-
NVDA
-
GOOG
-
2330
-
2454
-
0922
-

By Josh Horwitz

SHANGHAI (Reuters) - Contract chipmaker GlobalFoundries sued larger rival and Apple supplier TSMC for patent infringement, seeking to stop imports into the United States and Germany of products made with the allegedly infringed technologies.

In lawsuits filed on Monday in the United States and Germany, GlobalFoundries also sought unspecified "significant" damages from Taiwan Semiconductor Manufacturing Co (TSMC) (TW:2330) based on the Taiwanese firm's unlawful use of its technology in its "tens of billions of dollars of sales".

The complaints alleged that chip manufacturing technologies used by TSMC infringed GlobalFoundries' 16 patents, and sought to prevent imports of customers' products containing chips produced with the infringing technologies, the Santa Clara, California-based firm said in a statement.

It did not elaborate on products affected by the alleged infringement, but listed Apple Inc (O:AAPL), Qualcomm Inc (O:QCOM), Alphabet Inc's (O:GOOGL) Google, Nvidia Corp (O:NVDA), Lenovo Group (HK:0922) and Taiwan' MediaTek Inc (TW:2454) among TSMC's customers affected by the complaints.

TSMC called the allegations "baseless".

"We are disappointed to see a foundry peer resort to meritless lawsuits instead of competing in the marketplace with technology," it said in a statement.

It added that it would "fight vigorously, using any and all

options" to protect its proprietary technologies.

Nvidia declined to comment. TSMC's other clients were not immediately available for comment.

In a move to highlight its investment in the United States amid an intensifying U.S. trade war with China over Beijing's alleged unfair practices involving technology transfers and intellectual property, GlobalFoundries also said the lawsuits are aimed at protecting its U.S. investment.

"While semiconductor manufacturing has continued to shift to Asia, GlobalFoundries has bucked the trend by investing heavily in the American and European semiconductor industries," GlobalFoundries, which is owned by Abu Dhabi's state investment vehicle, said.

© Reuters. A logo of Taiwan Semiconductor Manufacturing Co (TSMC) is seen at its headquarters in Hsinchu

"This action is critical ... to safeguard the American and European manufacturing base."

Latest comments

Risk Disclosure: Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.
© 2007-2024 - Fusion Media Limited. All Rights Reserved.