IQE PLC (AIM:IQE) has filed a lawsuit against Tower Semiconductor after claiming it has significant evidence that the latter misappropriated its trade secrets to unlawfully obtain patents on its technology.
The supplier of compound semiconductor wafer products and advanced material solutions to the global semiconductor industry filed the complaint in a US Federal Court in California.
As well as relating to trade secrets, it also touched upon the correction of inventorship, breach of contract, unfair competition and intentional interference with prospective economic advantage.
These claims relate to IQE's proprietary porous silicon technology, which would underpin devices used in 5G and advanced sensing applications.
Tom Dale, general counsel and company secretary, commented: “Our technology, processes and intellectual property are vital in underpinning IQE's products and solutions and in maintaining our market-leading position in advanced semiconductor materials.
“We will vigorously protect them and will provide further updates as material developments occur."
IQE shares dropped 7.2% to 38.3p following the company’s statement.