Global Foundries/TSMC Wrangle Seen Dragging Industry Down

By Alan Patterson, EETimes
August 27, 2019

The legal tiff that GlobalFoundries (GF) initiated with TSMC yesterday is yet another factor likely to impede growth and profitability in the semiconductor industry during the foreseeable future, according to analysts.

“The big impact will be if GF gets an injunction that stops customer imports into the EU and U.S.,” VLSI Research CEO Dan Hutcheson told EE Times. “This alone would prevent the industry’s recovery in 2020.”

GlobalFoundries filed 25 lawsuits in the U.S. and Germany against 20 major companies alleging patent infringement of 16 of its semiconductor device and manufacturing technologies used by TSMC.

GF seeks orders that will prevent semiconductors made by TSMC from being imported into the U.S. and Germany. The lawsuits require GF to name customers of TSMC who import products that incorporate the allegedly infringing technology. GF is also seeking damages from TSMC for patent infringement. Defendants named in the cases include Apple, Asus, Broadcom, Cisco, Google, HiSense, Lenovo, Mediatek, Motorola, Nvidia, Qualcomm and Xilinx.

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