Former TSMC Deputy Manager Indicted for Stealing Tech Secrets for China

Taiwan Semiconductor Manufacturing Company (TSMC) faces a significant breach of security after a former deputy manager was indicted for allegedly stealing the company's core technologies and trade secrets with the intent to transfer them to China.

The indictment, brought by the High Prosecutors Office's Intellectual Property Prosecution Division, charges the former employee, identified by the surname Chen, with violating the National Security Act and Trade Secrets Act. Prosecutors are seeking a seven-year prison sentence.

According to the charges, Chen allegedly conspired with a Chinese national named Ding Xiaohu, based in Hong Kong, to establish a semiconductor materials analysis company in China. Chen reportedly developed plans, including one titled "Blue Sea Plan" (China Semiconductor Manufacturing Base), aimed at poaching TSMC talent for work in China and infiltrating Taiwan's semiconductor industry.

Investigators found that Chen had stolen a total of 21 pieces of TSMC's national core key technologies and general trade secrets. The prosecution alleges these actions were intended to benefit China.

This case highlights ongoing concerns about industrial espionage and the protection of critical technological assets in Taiwan's vital semiconductor sector. The indictment details a sophisticated plot involving international collaboration and the alleged transfer of sensitive intellectual property.