US Trade Body Opens AI Server Power Patent Case Against Foxconn and Luxshare
The US International Trade Commission opened a patent infringement investigation on Friday covering twenty companies, including major manufacturers Foxconn, Luxshare, and Quanta, over the specialized power systems used inside high-end artificial intelligence servers.
Vicor Alleges Patent Infringement on Vertical Power Delivery Systems
Power-chip maker Vicor filed the underlying complaint that triggered the federal agency’s action. The dispute centers on power systems designed to feed electricity directly from below to top-end chips inside AI-focused computers. Vicor wants the United States International Trade Commission to bar the targeted products from entering the country and to order the named firms to stop selling them.
Alongside Foxconn, Luxshare, and Quanta, the twenty companies targeted in the probe include Delta Electronics, Monolithic Power Systems, Infineon, Flex, and Celestica.
Luxshare Minimizes Potential Production Impact
Apple supplier Luxshare addressed the regulatory action in a filing on Saturday, stating that it does not expect the probe to have a material impact on its production, operations, or financial results. The company reported that the components in question are still undergoing customer testing and have not yet entered mass production.
The trade commission has not yet issued any rulings on Vicor’s claims. Agency procedures require the commission to set a target date to finish the case within 45 days of initiation. Any potential import ban resulting from the investigation could only take effect after a full evidentiary hearing and a final legal ruling.
Upcoming Regulatory Timeline for the Twenty Targeted Companies
Luxshare completed a listing in Hong Kong in July, marking the city’s largest initial public offering of the year.