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posted by martyb on Tuesday August 27 2019, @01:00AM   Printer-friendly
from the GF-found-something-sue-table dept.

GlobalFoundries Files Patent Claims Against TSMC, Seeks to Ban Imports of Nvidia, Apple Chips

GlobalFoundries (GF) today announced that it filed lawsuits against Taiwan Semiconductor Manufacturing Company (TSMC) in the U.S. and Germany over the alleged infringement of 16 patents. The company said that it's looking to halt the import of processors made with the technologies and is seeking "significant damages from TSMC based on TSMC's unlawful use of GF's proprietary technology in its tens of billions of dollars of sales." Impacted companies include Nvidia and Apple.

Note that GlobalFoundries said it wants to stop the import of processors made with the technologies it believes are covered by its patents. The company recognized that TSMC doesn't usually import those processors into the U.S. or Germany; TSMC's customers do. That means the lawsuits could affect much of the tech industry: TSMC said that in 2018 it was "manufacturing 10,436 different products using 261 distinct technologies for 481 different customers."

The list of companies supplied by TSMC includes AMD, Nvidia, Apple, Mediatek and many others, which means that GlobalFoundries could bring the tech industry to a halt if it's allowed to stop imports to the U.S. and Germany.

If you can't beat 'em, sue 'em.

Also at Wccftech.

Related: GlobalFoundries Abandons "7nm LP" Node, TSMC and Samsung to Pick Up the Slack
GlobalFoundries Spins Off ASIC Solutions Division, Creating a New Subsidiary: Avera Semiconductor


Original Submission

Related Stories

GlobalFoundries Abandons "7nm LP" Node, TSMC and Samsung to Pick Up the Slack 15 comments

GlobalFoundries has halted development of its "7nm" low power node, will fire 5% of its staff, and will also halt most development of smaller nodes (such as "5nm" and "3nm"):

GlobalFoundries on Monday announced an important strategy shift. The contract maker of semiconductors decided to cease development of bleeding edge manufacturing technologies and stop all work on its 7LP (7 nm) fabrication processes, which will not be used for any client. Instead, the company will focus on specialized process technologies for clients in emerging high-growth markets. These technologies will initially be based on the company's 14LPP/12LP platform and will include RF, embedded memory, and low power features. Because of the strategy shift, GF will cut 5% of its staff as well as renegotiate its WSA and IP-related deals with AMD and IBM. In a bid to understand more what is going on, we sat down with Gary Patton, CTO of GlobalFoundries.

[...] Along with the cancellation of the 7LP, GlobalFoundries essentially canned all pathfinding and research operations for 5 nm and 3 nm nodes. The company will continue to work with the IBM Research Alliance (in Albany, NY) until the end of this year, but GlobalFoundries is not sure it makes sense to invest in R&D for 'bleeding edge' nodes given that it does not plan to use them any time soon. The manufacturer will continue to cooperate with IMEC, which works on a broader set of technologies that will be useful for GF's upcoming specialized fabrication processes, but obviously it will refocus its priorities there as well (more on GF's future process technologies later in this article).

So, the key takeaway here is that while the 7LP platform was a bit behind TSMC's CLN7FF when it comes to HVM – and GlobalFoundries has never been first to market with leading edge bulk manufacturing technologies anyway – there were no issues with the fabrication process itself. Rather there were deeper economic reasons behind the decision.

GlobalFoundries would have needed to use deep ultraviolet (DUV) instead of extreme ultraviolet (EUV) lithography for its initial "7nm" chips. It would have also required billions of dollars of investment to succeed on the "7nm" node, only to make less "7nm" chips than its competitors. The change in plans will require further renegotiation of GlobalFoundries' and AMD's Wafer Supply Agreement (WSA).

Meanwhile, AMD will move most of its business over to TSMC, although it may consider using Samsung:

GlobalFoundries Spins Off ASIC Solutions Division, Creating a New Subsidiary: Avera Semiconductor 5 comments

GlobalFoundries Establishes Avera Semiconductor: a Custom Chip Company

GlobalFoundries this week announced that it has spun off its ASIC Solutions division, establishing Avera Semiconductor, a wholly owned subsidiary that will help fabless chip developers to design their products. Avera will work closely with GlobalFoundries' customers to enable them take advantage of various process technologies that GF has, but the company will also establish ties with other contract makers of semiconductors to help their clients develop chips to be made using leading edge process technologies at 7 nm and beyond.

[...] The new wholly owned subsidiary of GlobalFoundries has over 850 employees, an annual revenue of over $500 million, and ongoing projects worth $3 billion. By working not only with clients of GlobalFoundries, but expanding to customers of companies like Samsung Foundry and TSMC, Avera has a chance to increase its earnings over time. Avera Semi is led by Kevin O'Buckley, a former head of ASIC Solutions, who joined GlobalFoundries from IBM.

Shuffling money on the Titanic?

Previously: AMD, GlobalFoundries Renew Vows, Focus on Path to 7nm
GlobalFoundries to Spend $10-12 Billion on a 7nm Fab, Possibly $14-18 Billion for 5nm
AnandTech Interview With the CTO of GlobalFoundries: 7nm EUV and 5 GHz Clock Speeds
GlobalFoundries Abandons "7nm LP" Node, TSMC and Samsung to Pick Up the Slack

Related: Can Intel Really Share its Fabs?


Original Submission

GlobalFoundries and TSMC Sign Agreement, End Legal Disputes 4 comments

GlobalFoundries and TSMC Sign Broad Cross-Licensing Agreement, Dismiss Lawsuits

GlobalFoundries and TSMC have announced this afternoon that they have signed a broad cross-licensing agreement, ending all of their ongoing legal disputes. Under the terms of the deal, the two companies will license each other's semiconductor-related patents granted so far, as well as any patents filed over the next 10 years.

Previously, GlobalFoundries has been accusing TSMC of patent infringement. At the time of the first lawsuit in August, TSMC said that the charges were baseless and that it would defend itself in court. In October, TSMC countersued its rival and, in turn, accused GlobalFoundries of infringing multiple patents. Now, less than a month after the countersuit, the two companies have agreed to sign a broad cross licensing agreement and dismiss all ongoing litigation.

Previously: GlobalFoundries Sues TSMC for Patent Infringement, Seeking Import Ban
TSMC Countersues GlobalFoundries: Accuses US Fab of Infringing Patents Across Numerous Process Nodes


Original Submission

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  • (Score: 0) by Anonymous Coward on Tuesday August 27 2019, @01:40AM (10 children)

    by Anonymous Coward on Tuesday August 27 2019, @01:40AM (#885890)

    The list of companies supplied by TSMC includes AMD

    No, it doesn't. Here is the list: https://www.globalfoundries.com/sites/default/files/media_fact_sheet.pdf [globalfoundries.com]

    Hope no one sold because dumb enough to believe the news.

    • (Score: 4, Informative) by takyon on Tuesday August 27 2019, @01:51AM (9 children)

      by takyon (881) <reversethis-{gro ... s} {ta} {noykat}> on Tuesday August 27 2019, @01:51AM (#885891) Journal

      That sentence is entirely factual. Article goes on to say this:

      Moorhead's analysis does appear to be spot on, as AMD is currently GlobalFoundries' client for its 14nm Ryzen 1000- and 2000-series chips, along with the IOD/chipset dies that the company uses in tandem with its new Ryzen 3000-series CPUs, but isn't listed in the complaint even though TSMC is now its primary source of manufacturing for its new chips. TSMC hasn't publicly commented on GlobalFoundries' lawsuits at the time of writing.

      --
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      • (Score: 0) by Anonymous Coward on Tuesday August 27 2019, @02:01AM (7 children)

        by Anonymous Coward on Tuesday August 27 2019, @02:01AM (#885894)

        How do you reconcile "list of companies provided by TSMC" with "TSMC hasn't publicly commented on GlobalFoundries' lawsuits at the time of writing"? AMD is not a target of this lawsuit, in fact it looks like they are one of the only TSMC customers not affected.

        • (Score: 5, Informative) by takyon on Tuesday August 27 2019, @02:26AM (1 child)

          by takyon (881) <reversethis-{gro ... s} {ta} {noykat}> on Tuesday August 27 2019, @02:26AM (#885899) Journal

          AMD, Nvidia, Apple, and Mediatek are companies supplied by TSMC. TSMC is being targeted by GlobalFoundries. Even if AMD chips aren't part of any import ban being sought, AMD's main supplier could be hurt by this lawsuit. It could affect TSMC's competitiveness and AMD's choices going forward (they were supposed to ditch GloFo once they shrink the I/O die). Worst case scenario for TSMC, AMD switches to Samsung.

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          • (Score: 0) by Anonymous Coward on Tuesday August 27 2019, @04:59AM

            by Anonymous Coward on Tuesday August 27 2019, @04:59AM (#885952)

            Sure, blocking the sale, or at least increasing the cost of, nvidia gpus is likely to really hurt AMD.

        • (Score: 0) by Anonymous Coward on Tuesday August 27 2019, @02:36AM (4 children)

          by Anonymous Coward on Tuesday August 27 2019, @02:36AM (#885905)

          Are you really so thick or it's fake thick? Really, it's not so complicated to understand.

          1.- AMD is currently GlobalFoundries' client for "some chips"
          2.- TSMC is [AMD's] primary source of manufacturing for "new chips" using claimed infringing patents.
          3.- [Despite AMD] not being listed in the complaint, surely because they are also GF's client, obviously due to [2] AMD's "new chips" are affected by TSMC's infringing GF patents.
          4.- AMD as client of GF may or may not cut a deal with GF to avoid "trouble" with such claimed infringed patents for "new chips" even if AMD's "some chips" manufactured by GF are not affected.

          TL;DR: Some new AMD chips are affected by the infringing patents.but others not.

          • (Score: 4, Funny) by takyon on Tuesday August 27 2019, @02:50AM (1 child)

            by takyon (881) <reversethis-{gro ... s} {ta} {noykat}> on Tuesday August 27 2019, @02:50AM (#885911) Journal

            That AC seems... "invested" in this news.

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            [SIG] 10/28/2017: Soylent Upgrade v14 [soylentnews.org]
            • (Score: 0) by Anonymous Coward on Tuesday August 27 2019, @05:01AM

              by Anonymous Coward on Tuesday August 27 2019, @05:01AM (#885954)

              Just pointing out fake news, amazing that people can be told point blank what is going on but prefer to live in denial. I mean I would obviously prefer for AMDs stock to do down over this to buy more. Nothing said here is going to affect the stock price though.

          • (Score: 0) by Anonymous Coward on Tuesday August 27 2019, @04:54AM

            by Anonymous Coward on Tuesday August 27 2019, @04:54AM (#885951)

            TL;DR: Some new AMD chips are affected by the infringing patents

            No, they aren't. At least there is no evidence this is the case. Actually there is a distinct lack of such evidence in what we have seen about this lawsuit.

          • (Score: 0) by Anonymous Coward on Tuesday August 27 2019, @07:35AM

            by Anonymous Coward on Tuesday August 27 2019, @07:35AM (#885985)

            Just speculating without evidence here, but it is possible AMD retains some patent license from before GF was spun off, and so the chips manufactured for AMD are non-infringing.

      • (Score: 1, Funny) by Anonymous Coward on Tuesday August 27 2019, @03:56AM

        by Anonymous Coward on Tuesday August 27 2019, @03:56AM (#885933)

        That is surprising good news. Cynical me had immediately wondered if Intel was funding this lawsuit to try to damage AMD.

  • (Score: 0) by Anonymous Coward on Tuesday August 27 2019, @02:47AM (3 children)

    by Anonymous Coward on Tuesday August 27 2019, @02:47AM (#885907)

    This is why I love patents.

    No, I am not a lawyer, why do you ask?

    • (Score: 5, Insightful) by rylyeh on Tuesday August 27 2019, @02:53AM (2 children)

      by rylyeh (6726) <{kadath} {at} {gmail.com}> on Tuesday August 27 2019, @02:53AM (#885914)

      The road to hell is paved with good patents.

      --
      "a vast crenulate shell wherein rode the grey and awful form of primal Nodens, Lord of the Great Abyss."
      • (Score: 0) by Anonymous Coward on Tuesday August 27 2019, @11:58PM (1 child)

        by Anonymous Coward on Tuesday August 27 2019, @11:58PM (#886503)

        Wait, there are good patents? Or are you saying the road is basically unpaved?

        • (Score: 2) by rylyeh on Wednesday August 28 2019, @03:24AM

          by rylyeh (6726) <{kadath} {at} {gmail.com}> on Wednesday August 28 2019, @03:24AM (#886615)

          In 2007 I found that an un-implemented patent covered my design. It was from 1993, "A 3d java applet to deliver content over the internet." The company was active - and the patent had been granted. 💩💩💩

          Turning, I saw outlined against the luminous aether of the abyss what could not be seen against the dusk of the corridor—a nightmare horde of rushing devils; hate-distorted, grotesquely panoplied, half-transparent; devils of a race no man might mistake—the crawling reptiles of the nameless city.

          And as the wind died away I was plunged into the ghoul-peopled blackness of earth’s bowels; for behind the last of the creatures the great brazen door clanged shut with a deafening peal of metallic music whose reverberations swelled out to the distant world to hail the rising sun as Memnon hails it from the banks of the Nile.

          --
          "a vast crenulate shell wherein rode the grey and awful form of primal Nodens, Lord of the Great Abyss."
  • (Score: 0) by Anonymous Coward on Tuesday August 27 2019, @02:57AM

    by Anonymous Coward on Tuesday August 27 2019, @02:57AM (#885915)

    I recommend TSMC should stop production for export to both USA and Germany. All and every one. I consider that a fun time if that happens...

  • (Score: 1, Interesting) by Anonymous Coward on Tuesday August 27 2019, @12:09PM

    by Anonymous Coward on Tuesday August 27 2019, @12:09PM (#886040)

    AMD is using TSMC for some of their key parts. Why would GF not include them in the lawsuit?

    Two theories
    1) They are one of GF's current customers for other parts.
    2) When AMD sold their foundaries to GF the deal may have included a cross license.

    It seems likely that few, if any, main stream foundaries can operate without cross licenses from their peers.

    It's not clear what GF's goal is here.
    Just disrupting the market seems an unlikely goal. (Unless it has something to do with the Whitehouse and China?)
    The lawyers definitely win.
    Could be for cash, but cross licenses and technology seems more likely.

    Definitely a grab your popcorn and watch moment.

  • (Score: 1, Interesting) by Anonymous Coward on Tuesday August 27 2019, @12:42PM

    by Anonymous Coward on Tuesday August 27 2019, @12:42PM (#886043)

    Seems intel lawyers are working extra hours and giving hints to some coleagues.

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