Infineon is a German semiconductor chip technology company with considerable global influence, whose power supply control chips are used by companies such as NVIDIA to control the power consumption of the most powerful AI hardware. In fact, Infineon has several factories and offices in Kulim, Kedah and Batu Berendam in Melaka.
Recently, it has been reported that China's supreme court has decided to uphold an injunction against Infineon, which banned them from offering and selling their GaN (gallium nitride) chip components in the country. This decision was earlier shown on May 27, 2026 by the Suzhou Intermediate People's Court which said that Infineon had infringed at least two technology patents of a semiconductor chip developer in China, namely Innoscience. Infineon was also ordered to pay 10 million yuan (~RM5 million) to Innoscience as compensation to the company.
Interestingly, Innoscience was previously found to have infringed Infineon's patents in the United States in early May, and in Germany in 2025. Innoscience said that the International Trade Commission, which issued a statement about the patent infringement, had confirmed before the incident that Innoscience's technology had been modified and did not infringe Infineon's patents, which has left many parties confused.
And this is seen as a rather complicated issue because both Infineon and Innoscience are responsible for producing GaN power control chips for NVIDIA, specifically for the 800VDC AI server rack with a power consumption capacity of 1MW which allows customers to build data centers with a power consumption capacity of 1GW in a smaller space.

