Korean chipmakers face rising US patent lawsuits

Korean chipmakers are facing mounting legal challenges from non-practicing entities (NPEs) in the US, as recent policies increasingly favor patent holders.

SK hynix recently saw the US Patent Trial and Appeal Board reject two petitions to review patents held by Advanced Memory Technologies.

The NPE filed a patent infringement lawsuit in Texas in December 2024, alleging violations of five memory-related patents.

SK hynix is also dealing with separate suits from Monolithic 3D and Network System Technologies.

Samsung Electronics is contesting a patent held by Netlist, another NPE.

Netlist has previously won jury verdicts totaling over US$400 million from Samsung and reached a US$40 million settlement with SK hynix.

Industry officials note a sharp drop in IPR petition approvals under current US Patent Office leadership.

Only 4 of 105 petitions were granted between October and early December 2025.

🔗 Source: The Korea Times

🧠 Food for thought

Implications, context, and why it matters.

Texas venue and parallel Patent Trial and Appeal Board (PTAB) proceedings increase risk for memory chip makers

AMT sued in the Eastern District of Texas (EDTX) 1.
The court refused a stay pending inter partes review (IPR), so SK hynix must press on in district court while PTAB petitions run 2. Full district litigation is expensive for both sides 3.
This venue choice and the stay denial force the defense to fight on two tracks 1 2.

Semiconductor suppliers entering US markets should evaluate patent defense insurance immediately

Patent defense insurance pays legal costs, damages, and settlements from infringement claims 4. Typical premiums run about 1.5% of limits, for example $15,000 per year for $1 million 5.
Early buyers do better, especially chip makers and electronics brands not yet in a dispute 6. Underwriting reviews products and Intellectual Property (IP) rights to set terms 6.
CFC Underwriting, a specialty insurer, and IPISC (Intellectual Property Insurance Services Corporation) sell dedicated IP defense policies 4 3. BlueIron, an IP insurance provider, lets clients use their own attorneys with appropriate IP litigation experience 5.
Coverage can steady smaller semiconductor suppliers and fabless designers, chip companies that design but outsource manufacturing 5. BlueIron cites Octane Fitness, a fitness equipment maker, which fought a patent suit and was later acquired for $115 million after using defense insurance 5.