In a fresh development in the ongoing legal battle, Yangtze Memory Technologies Corp. (YMTC) has escalated its dispute with Micron Technology, filing a third lawsuit alleging a smear campaign orchestrated to undermine its market position.
The complaint, filed recently, accuses Micron of funding and promoting efforts to discredit YMTC, in an apparent attempt to gain an unfair advantage in the competitive memory chip market.
YMTC claims that Micron, facing a disadvantage in innovation and product performance, resorted to illicit tactics to maintain its competitive edge. The core of the accusation centers on the dissemination of unfounded rumors, allegedly circulated by Micron and DCI Group, centered on claims that YMTC embedded backdoors in its chips, particularly those used in mobile devices. Reports suggest that a significant portion of the campaign’s funding originated from Micron and Dell.
YMTC’s lawsuit underscores that Micron’s actions have crossed acceptable boundaries, leading to millions of dollars in lost sales opportunities within the US and other international markets for large computer and consumer electronics manufacturers.
The suit demands corrective advertising from Micron, seeks financial compensation for damages, and requests the disgorgement of profits obtained through the alleged illegal activities.
The current legal entanglement builds upon existing litigation, initiated by YMTC in 2023 when it sued Micron for patent infringement. Micron responded by filing counterclaims, alleging its own patent violations.
Adding fuel to the fire, a court ruling mandated Micron to produce 73 pages of confidential documents pertaining to their technological innovations as part of the investigation. While Micron filed a motion to stay the order, claiming the sheer volume of documents requested could potentially expose sensitive corporate information to its rival, the claim seems precarious considering that the confidential documents will only be accessed by external legal counsel and experts approved by the court.
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