GlobalFoundries and IBM have settled all ongoing litigation, ending legal disputes involving breach of contract, trade secrets, and intellectual property claims. The agreement, announced January 2, 2025, resolves all legal matters between the semiconductor manufacturer and the technology giant. Both companies indicated that the settlement opens the door for potential collaboration in areas of mutual interest.
Terms of the settlement remain confidential. Leaders from both companies expressed satisfaction with the outcome and emphasized the importance of moving forward collaboratively. This resolution concludes a prolonged legal battle that began after disagreements related to semiconductor technologies and contractual obligations.
Dr. Thomas Caulfield, president and CEO of GlobalFoundries, stated, “We are pleased to have reached a positive resolution with IBM, and we look forward to new opportunities to build upon our long-standing partnership to further strengthen the semiconductor industry.” Arvind Krishna, Chairman and CEO of IBM, added, “Resolving these disputes is a significant step forward for our companies and will allow us to both focus on future innovations that will benefit our organizations and customers.”
• Settlement resolves breach of contract, trade secrets, and intellectual property claims.
• The agreement ends all litigation between GlobalFoundries and IBM.
• Details of the settlement are confidential.
• Leaders from both companies expressed satisfaction with the outcome.
• The resolution enables potential future collaboration.
- In October 2014, following very poor financial performance, IBM announced plans to exit the silicon foundry business by transferring its fabs in East Fishkill, New York and Essex Junction, Vermont to GlobalFoundries. Under the deal, IBM paid GlobalFoundries $1.5 billion over three years to take over the operations. GlobalFoundries agree to become IBM’s exclusive supplier of 22 nanometer (nm), 14nm and 10nm semiconductors for the next 10 years.