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GlobalFoundries Lawsuit Threatens Sales Prohibition Against NVIDIA, Apple

The rivalry between semiconductor behemoths is getting worse, and it might have an unfortunate effect on a number of devices you purchase. GlobalFoundries has taken legal action against TSMC (the Taiwanese firm) for supposedly breaching 16 patents connected to its chip manufacturing business, comprising ones for the common FinFET design and semiconductor interconnects employed in newer chips.

The multiple lawsuits claim 20 tech firms are breaching on its concepts, and they are definitely names you will recognize. ASUS, Apple, Lenovo, Google, OnePlus, NVIDIA, and Qualcomm are all blamed of treading on technology by GlobalFoundries, although Patrick Moorhead of Moor Insights thought their inclusion was majorly meant as leverage in opposition to TSMC.

The outcomes could still be grave. In one of the complaints to ITC, GlobalFoundries asked for import prohibitions on a number of Apple’s devices with mobile processors, comprising the iPhone XS, Apple Watch Series 4, AirPods, and Apple TV 4K. It might still be extremely injuring for others. The GPU business of NVIDIA revolves extremely around assembly at TSMC, for example, such as the 12nm processors at the core of the GeForce RTX series. If GlobalFoundries triumphs, these firms may have no option but to stop sales, at least until they find optional manufacturing channels.

On a related note, earlier NVIDIA’s earning report displayed that it clocked $2.2 Billion in income, which seems impressive until you understand that it is down 24% from a year ago. That number is also down 31% from the earlier quarter, which witnessed NVIDIA clocking $3.18 Billion in income. Moreover, the firm made $294 Million in operating revenue, down a gigantic 73% as compared to the earlier year and down 72% as compared to last quarter. In the meantime, it’s working expenses increased up by 25% as compared to a year ago.

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