Netlist Urges Strong USTR Action in Section 301 Investigation Into South Korea Over Semiconductor IP Abuse

Core Viewpoint - Netlist supports the U.S. government's Section 301 investigation into South Korea's trade practices, particularly regarding the misappropriation of U.S. intellectual property in the semiconductor sector [1] Group 1: Company Position - Netlist has invested hundreds of millions of dollars over 25 years in developing foundational memory technologies that are essential for AI computing platforms globally [1] - U.S. federal courts have upheld the validity of Netlist's patents, finding Samsung liable for willful infringement, with cumulative damages exceeding $420 million awarded [1] - Samsung continues to sell infringing products in the U.S. without a license, undermining American innovation and competition [1] Group 2: Industry Context - In 2025, South Korea exported approximately $173 billion in semiconductors, with DRAM and NAND memory being the largest export categories [1] - Over 70% of these semiconductors are purchased by U.S. customers, yet only about $15 billion was recorded as direct U.S. imports from South Korea [1] - The reported U.S.-Korea trade deficit of $56 billion significantly understates the actual imbalance, which analysts estimate could exceed $150 billion [1] - The global DRAM market, dominated by South Korean producers, is expected to more than triple amid the ongoing semiconductor upcycle in 2026 [1] Group 3: Call to Action - Netlist urges the U.S. Trade Representative to ensure that the Section 301 investigation addresses both unlawful IP exploitation and the structural trade mechanisms that obscure its economic impact [1]