Chip lithography leader ASML flags possible intellectual property infringement by a ‘little giant’ in China
- ASML said it has asked its customers not to encourage the alleged IP infringement by Dongfang Jingyuan Electron, a Beijing-based company known as a ‘little giant’
- The allegation comes as China is doubling down on developing its own capability in lithography, which is a vital step for chip production
ASML Holdings, the world’s largest supplier of lithography machines used in manufacturing chips, has alleged that a Chinese company could be infringing on its intellectual property (IP) rights.
The Dutch firm, which has a monopoly on advanced lithography tools for making cutting edge semiconductors, said in its annual report on Wednesday that a business associated with XTAL, which it previously sued for trade secrets theft in the US, was “actively marketing products in China that could potentially infringe on ASML’s IP rights”.
ASML said it has asked its customers not to encourage the alleged IP infringement by Beijing-based Dongfang Jingyuan Electron Ltd, and that it also raised the issue with Chinese authorities.
Established in 2014, Dongfang Jingyuan is one of the “little giants” named by the Chinese government, lesser known start-ups that are pursuing technological breakthroughs to help the country achieve its goal of self sufficiency in technology.
Calls to the company seeking comment went unanswered. ASML China did not immediately respond to a request for comment.
In July 2021, Dongfang Jingyuan sold a critical dimension scanning electron microscope to Semiconductor Manufacturing International Corp (SMIC), China’s largest chip foundry, according to its website.
Company chairman Yu Zongqiang said Dongfang Jingyuan has achieved breakthroughs in key technologies for chip manufacturing “at a time when the country needs it”, according to a statement on its website.