Samsung's imports and sales of HBM chips in the US are at risk

Since Nvidia approved Samsung’s HBM3E chips, the brand’s high bandwidth memory (HBM) has been in immense demand. As there’s a creamy profit on these chips, the company’s financial performance lately has been exceptional. The demand for its HBM4 chips, which have been found to be the best in the segment by Broadcom and Nvidia, is expected to be even higher. Well, there’s now a sword hanging over the tech giant's revenue and profit from HBM chips.

In September 2024, Netlist, a United States-based semiconductor company, filed a complaint against Samsung’s memory products, including HBM and DDR5 chips that they violate its memory-related patents. Now, the US International Trade Commission (ITC) has launched an investigation into the matter (via Chosun Biz). Reportedly, the probe targets Samsung, its US subsidiaries, and even one of its major HBM customers, Google.

If the ITC rules in favour of Netlist, it could restrict Samsung’s imports and sales of HBM chips in the US. However, experts believe that a total ban is unlikely as it would disrupt the country's technology supply chain.

Netlist is viewed by many as a patent troll, a term used for individuals or companies that buy or hold patents to sue other individuals or companies for infringement, demanding royalties or settlements, rather than making products.

So, it is unlikely that Samsung's imports and sales of HBM chips will come to a stop.