Infineon v. Innoscience (ITC) — Commission Finds GaN Patent Infringement but Import Ban Reaches Only Discontinued Products

Background

Infineon Technologies — one of the world’s largest semiconductor manufacturers — filed a Section 337 complaint with the International Trade Commission in August 2024, accusing Chinese chipmaker Innoscience of infringing several U.S. patents covering gallium nitride (GaN) power transistor technology. GaN semiconductors are critical components in modern power electronics, offering superior efficiency over traditional silicon chips in applications ranging from electric vehicle chargers to data center power supplies.

The investigation originally targeted four Infineon patents: U.S. Patent Nos. 9,899,481 (the ‘481 patent, covering a lateral GaN transistor device with source-sensing packaging), 9,070,755 (the ‘755 patent), 8,686,562, and 8,264,003. During the investigation, Infineon voluntarily dropped its claims on the ‘562 and ‘003 patents, narrowing the case to the ‘481 and ‘755 patents. In December 2025, Administrative Law Judge Monica Bhatt issued her initial determination finding that Innoscience violated Section 337 with respect to the ‘481 patent but finding no violation as to the ‘755 patent.

The Commission’s Determination

On May 7, 2026, the Full Commission issued its final determination, affirming the ALJ’s core finding that Innoscience infringed the ‘481 patent. However, the Commission’s review narrowed the scope of the violation in important ways. Of the six asserted claims of the ‘481 patent (claims 1-4, 6, and 17), the Commission invalidated four, leaving only two claims standing. The Commission also affirmed the ALJ’s finding of no violation regarding the ‘755 patent.

Critically, the Commission found that Innoscience’s current, redesigned products fall outside the scope of the ‘481 patent and do not infringe. The infringement finding applies only to legacy products that Innoscience had already discontinued manufacturing and selling before the final determination. The Commission issued a limited exclusion order and cease-and-desist order, but their practical impact is minimal since the banned products are no longer in commerce.

The determination is now subject to a 60-day presidential review period, after which the orders will take formal effect.

Key Takeaways

• A pyrrhic victory for Infineon: While Infineon secured a formal finding of patent infringement and an import ban, the ban applies only to discontinued products. Innoscience’s current GaN power devices can continue to be imported and sold in the United States without restriction.
• Design-arounds succeed: Innoscience’s redesigned products — which now constitute its entire commercial lineup — were found to fall outside the patent claims, demonstrating the effectiveness of proactive design-around strategies in ITC investigations.
• Parallel global litigation continues: The ITC case is just one front in a broader international dispute. In Germany, a Munich court found Innoscience infringed one Infineon patent in August 2025, with additional trials scheduled for June 2026. Infineon holds approximately 450 GaN patent families worldwide.
• GaN semiconductor market at stake: The case highlights the intensifying patent competition in the rapidly growing GaN power semiconductor market, particularly between established Western manufacturers and emerging Chinese competitors.

Why It Matters

This case illustrates a recurring pattern in ITC patent investigations: respondents redesign their products during the lengthy investigation process, rendering the eventual exclusion order moot before it even takes effect. For companies facing ITC complaints, the case demonstrates the strategic value of developing non-infringing alternatives early in the investigation timeline.

For the GaN semiconductor industry specifically, the ruling signals that Infineon’s broad patent portfolio will be aggressively enforced across multiple jurisdictions — but also that well-executed design-arounds can allow competitors to maintain market access. As GaN technology becomes increasingly important for electric vehicles, 5G infrastructure, and renewable energy systems, the patent landscape in this space will remain a key competitive battleground.