Chinese language chipmaker YMTC sues Micron alleging patent infringement

Nov 12 (Reuters) – Chinese language chipmaker Yangtze Reminiscence Applied sciences Co (YMTC) has filed a lawsuit in opposition to U.S. rival Micron Expertise (MU.O) alleging infringement of eight of its patents.

YMTC filed the lawsuit in opposition to Micron and unit Micron Client Merchandise Group on Nov. 9 on the U.S. District Court docket for the Northern District of California.

Based on the lawsuit, Micron turned to YMTC’s patented expertise to fend off competitors from YMTC and to realize and shield market share. It mentioned Micron was not paying its fair proportion to make use of the patented innovations.

“Whereas we can’t talk about the specifics of pending litigation, I can affirm that YMTC not too long ago filed a lawsuit within the U.S. District Court docket for the Northern District of California in opposition to Micron Expertise, Inc for infringement of our firm’s patents associated to the design, manufacture, and operation of 3D NAND expertise,” YMTC mentioned in a press release to Reuters on Monday. “We’re assured that this matter can be resolved swiftly.”

Micron didn’t reply outdoors common U.S. enterprise hours.

Micron makes DRAM chips and NAND flash reminiscence chips and competes with South Korea’s Samsung Electronics (005930.KS) and SK Hynix (000660.KS) in addition to Japan’s Kioxia, a unit of Toshiba (6502.T). YMTC is a a lot smaller rival which was final yr barred by the U.S. from shopping for sure American parts.

The U.S. in recent times has elevated restrictions on exporting chipmaking expertise to China on safety grounds.

In Might, China mentioned Micron merchandise failed a community safety overview and barred buy of them by operators of key infrastructure.

Micron was embroiled in a dispute in 2018 involving Chinese language state-backed chipmaker Fujian Jinhua which was accused of – and which denied – commerce secret theft. Later that yr, its essential merchandise had been topic to a short lived gross sales ban in China.

China was as soon as Micron’s greatest market, producing half of its $20 billion income in fiscal 2017. That share shrank to 16% in 2022, a yr during which it closed DRAM operations in Shanghai.

Micron has mentioned it stays dedicated to China. In June, it mentioned it might make investments 4.3 billion yuan ($590 million) in coming years in its chip-packaging plant in Xian metropolis, and it exhibited for the primary time at a commerce expo in Shanghai this month.

($1 = 7.2934 Chinese language yuan renminbi)

Our Requirements: The Thomson Reuters Belief Ideas.