Lam Research And JSR Resolve Legal Disputes As They Team Up On AI Era Chips

Core Viewpoint - Lam Research and JSR Corp. have entered a non-exclusive cross-licensing and collaboration agreement to enhance next-generation semiconductor manufacturing, combining their respective strengths in deposition, etch, and advanced materials [1][2] Group 1: Partnership and Technology Development - The collaboration aims to integrate JSR/Inpria's patterning resists and films with Lam's Aether dry resist and atomic layer processing technologies to create synergies [2] - The focus will be on advancing dry resist technology for extreme ultraviolet (EUV) lithography, high NA EUV patterning for advanced nodes, and new precursor materials for atomic layer deposition and etch [3] Group 2: Financial Performance - Lam Research reported better-than-expected fiscal fourth-quarter earnings with adjusted earnings of $1.33 per share on revenue of $5.17 billion, surpassing consensus estimates [5] - Despite strong results, shares fell over 5% as investors considered the sustainability of growth primarily driven by China [5] Group 3: Market Outlook and Guidance - Management provided guidance for first-quarter fiscal 2026 adjusted EPS between $1.10 and $1.30 on revenue of $4.9 billion to $5.5 billion, exceeding forecasts [6] - The company raised its 2025 wafer fabrication equipment (WFE) market outlook to $105 billion from $100 billion due to a surge in Chinese orders, with China now accounting for over 35% of Lam's revenue [6] Group 4: Analyst Insights - Needham analyst Charles Shi described the quarter as a "strong beat-and-raise," driven by Chinese demand, but noted potential signs of revenue pullback [7] - Goldman Sachs analyst James Schneider highlighted Lam's strength beyond China, emphasizing momentum in logic and memory segments, and its leadership in deposition and etch as structural growth drivers through 2026 [8]