According to HotHardware, AMD is facing a patent infringement lawsuit from Adeia, a company founded in 2022 that was originally the IP licensing arm of Xperi. The lawsuit targets AMD’s 3D V-Cache technology used in Ryzen X3D processors, specifically alleging infringement of ten patents related to chip stacking and hybrid bonding. Adeia has a track record of similar legal actions, having previously settled with NVIDIA in 2023 and currently suing The Walt Disney Company. The company doesn’t actually produce or sell any products but focuses entirely on patent licensing and litigation. AMD now has to decide how to respond to these infringement claims.
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<h2 id="patent-troll-playbook”>The Patent Troll Playbook
Here’s the thing about Adeia – they’re what we used to call patent trolls before the industry started using the more polite “Non-Practicing Entities.” They sit on broadly-defined patents for technology they didn’t actually invent or produce. And because the U.S. patent system is basically broken, they can sue companies that are actually building things. It’s a business model built entirely on legal threats rather than innovation.
Look at their track record. Before they were Adeia, this same group went after Canadian telecom companies like Bell Canada and Telus. They’ve targeted Samsung, Broadcom, Netflix, and even Elon Musk’s X. Notice a pattern? They go after successful companies with deep pockets. And most of these cases end in settlements because fighting them in court is expensive and risky.
Why AMD, Why Now?
So why is Adeia going after AMD specifically? 3D V-Cache has been one of AMD’s biggest competitive advantages recently. It’s working really well in their Ryzen X3D processors. That makes it a juicy target. But there’s another angle here that’s pretty clever in a shady way.
They’re not suing TSMC, who actually manufactures the chips. That would be jurisdictionally messy. Instead, they’re suing AMD, the customer. This puts pressure on both companies. If AMD loses, it sets a precedent that every TSMC customer using similar technology is also infringing. Basically, they’re indirectly suing TSMC while going after the company with the finished product where damages would be calculated based on final sales, not manufacturing fees.
What Happens Next?
Realistically? AMD will probably settle. Fighting this could mean proving Adeia’s patents are invalid, which is incredibly difficult and expensive. The leadership at Adeia has decades of experience in exactly this kind of legal warfare. They know what they’re doing.
Their CEO’s statement is classic patent troll language too – talking about “protecting inventions” and being “open to reaching a fair and reasonable arrangement.” Translation: “We want money, and we’re confident we’ll get it.” It’s frustrating to watch companies that actually innovate get shaken down like this. But until the patent system gets fixed, this is just the cost of doing business in tech.
