American chip manufacturers – including Intel, AMD, Texas Instruments, and distributor Mouser Electronics – are facing lawsuits in US courts, accused of indirectly supplying critical components for drones and missile systems used by Russia in Ukraine. Despite strict export controls, the suits allege these companies’ technology ended up in weapons such as the Shahed 136, Kh-101, and Iskander-M through lax supply chain oversight.
The Core of the Allegations
The legal action, brought by US and Ukrainian law firms, doesn’t claim direct sales to Russia. Instead, it focuses on the companies’ alleged failure to prevent their products from reaching Moscow via Iranian and Chinese intermediaries. Lawyers argue that the firms continued to operate with distributors linked to sanctioned actors, ignoring public reports and government warnings about diversion risks.
“The indicators of diversion were clear. They proceeded anyway.” – Watts Law Firm Statement
A 2023 report by the Kyiv School of Economics and the International Working Group on Russian Sanctions identified 174 foreign components in Russian drones, with 36 traced to Texas Instruments and AMD’s Xilinx chips. This illustrates how easily Western technology can bypass restrictions.
Why This Matters
This lawsuit highlights a critical weakness in global supply chain security. US export controls are designed to prevent military hardware from falling into hostile hands, but the reality shows compliance gaps can allow critical technology to flow regardless. This isn’t just a legal issue; it raises questions about corporate responsibility when products end up fueling armed conflict.
The case also underscores the role of third-party nations – particularly Iran and China – in facilitating these diversions. They act as a conduit, making it harder to enforce restrictions directly at the source.
Company Responses
Intel maintains it halted shipments to Russia and Belarus after the invasion, complying with sanctions. Mouser Electronics stated it will address the claims in court, while Texas Instruments and AMD have yet to respond publicly. The suits seek compensation for victims of drone strikes and aim to deter future exports of these technologies.
Looking Ahead
The outcome of these lawsuits could reshape how tech companies monitor their supply chains. If successful, the cases may force stricter compliance measures, potentially disrupting global trade flows and raising costs. More broadly, the legal challenge signals a growing push for accountability among corporations whose products contribute to modern warfare.
