MStar Semiconductor Inc (晨星科技), Taiwan's biggest maker of controllers for flat displays used in computers and televisions, said yesterday it plans to file an appeal against a patent infringement ruling that favors the plaintiff -- Genesis Microchip Inc.
Under a ruling by the International Trade Commission (ITC) over the weekend, MStar Semiconductor, along with its Taiwanese peers Media Reality Technologies Inc (晶捷科技) and Trumpion Microelectronics Inc (創品), were found guilty over infringing on a patent for a method to improve images on liquid-crystal-display (LCD) monitors.
The company has been challenging Genesis Microchip, the world's top supplier of such controllers for LCD computer monitors and flat-screen TV sets, for over a year.
The Hsinchu-based chipmaker said in response that, "MStar believes that the ITC's decision is wrong and plans to appeal the decision in US Federal Circuit Court."
The trade commission also issued an order to embargo imports of the company's display controllers into the US, as well as computer and TV screens that contain the products.
US officials will begin blocking the goods in 60 days.
"There will be no disruption to imports of new MStar chips or display monitors containing our new chips," MStar President Steve Yang (
The new products were not implicated in the ongoing patent lawsuits, he said.
One market watcher said the import ban will eat into the company's bottom line and limit its development of new chips.
"The import restriction will take a serious toll on the chipmaker, as controllers used in computer monitors and TVs make up a big chunk of the MStar's sales," said David Liu (
Liu said local chipmakers should brace for more patent disputes as larger international rivals use legal means to thwart Taiwanese startups, which are generally more cost-competitive.
Five months before the ITC's ruling, Media Reality applied to terminate share trading on Taiwan's emerging-market bourse in March, as it was unable to sustain huge losses from law suits with Genesis. Trumpion Microelectronics also decided to phase out production of its LCD controllers as a result of legal pressure.
As of press time, Media Reality and Trumpion Microelectronics could not be reached for comment about the ruling.
"We are delighted with the ITC's decision to uphold the findings of the administrative law judge," Eric Erdman, an interim chief executive officer at Genesis Microchip, said in a statement yesterday.
Genesis Microchip shares rose US$0.63 to US$12.58 at 5:20pm on the NASDAQ share market. The shares have fallen 30 percent in the past 12 months.
Elon Musk’s lieutenants have reached out to chip industry suppliers, including Applied Materials Inc, Tokyo Electron Ltd and Lam Research Corp, for his envisioned Terafab, early steps in an audacious and likely arduous attempt to break into the production of cutting-edge chips. Staff working for the joint venture between Tesla Inc and Space Exploration Technologies Corp (SpaceX) have sought price quotes and delivery times for an array of chipmaking gear, people familiar with the matter said. In past weeks, they’ve contacted makers of photomasks, substrates, etchers, depositors, cleaning devices, testers and other tools, according to the people, who asked not to
The EU and US are nearing an agreement to coordinate on producing and securing critical minerals, part of a push to break reliance on Chinese supplies. The potential deal would create incentives, such as minimum prices, that could advantage non-Chinese suppliers, according to a draft of an “action plan” seen by Bloomberg. The EU and US would also cooperate on standards, investments and joint projects, as well as coordinate on any supply disruptions by countries like China. The two sides are additionally seeking other “like-minded partners” to join a multicountry accord to help create these new critical mineral supply chains, which feed into
Japan approved ￥631.5 billion (US$3.97 billion) in additional subsidies to hasten Rapidus Corp’s entry into the high-stakes artificial intelligence (AI) chipmaking arena, ramping up support for a project widely regarded as a long shot. The capital is intended to bankroll Rapidus’ work for information technology firm Fujitsu Ltd, one of the initial customers that Tokyo hopes would get the signature endeavor off the ground. The new money raises the fees and investments that the government is injecting into the start-up to ￥2.6 trillion by the end of the current fiscal year to March next year, the Japanese Ministry of Economy, Trade and
The founder of Chinese property giant Evergrande Group (恆大集團) has pleaded guilty to charges of fraud and bribery, a court said yesterday, the latest blow for what was once the country’s leading developer. Evergrande’s rise was propelled by decades of rapid urbanization and rising living standards, but in 2020, its access to credit dramatically narrowed when the government introduced curbs on excessive borrowing and speculation. The company defaulted in 2021 after struggling to repay creditors. Founder Xu Jiayin (許家印), 67, known as Hui Ka Yan in Cantonese, was reportedly held by police in 2023, with Evergrande saying he had been subjected to
RSS