Ex-TSMC exec’s homes raided as Intel dispute escalates
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The news: Taiwanese prosecutors searched the homes of former Taiwan Semiconductor Manufacturing Co. (TSMC) executive Lo Wen-jen, who has been accused of leaking trade secrets to his new employer, Intel.
The context: The searches suggest that Taiwan is deepening its probe into the dispute which broke on Monday, when TSMC said it filed a lawsuit in Taiwan’s intellectual property and commercial court seeking damages for breach of contract from former vice-president Lo Wei-Jen, who retired from the company in July. Lo was at one stage in charge of research and technology development at TSMC and helped facilitate the mass production of cutting-edge chips, including those used to make AI accelerators during his two decades at TSMC.
“There is a high probability that Lo uses, leaks, discloses, delivers, or transfers TSMC’s trade secrets and confidential information to Intel, thus making legal actions (including claiming damages for breach of contract) necessary,” TSMC alleged.
The Taiwan prosecutor’s office said that authorities raided Lo’s Taipei and Hsinchu residences on Wednesday afternoon, seizing computers, USB drives and other evidence. A court also approved a petition to seize his shares and real estate.
Intel defended Lo following the lawsuit’s filing, with CEO Lip-Bu Tan telling employees on Wednesday that the company had acted ethically when it hired the executive. An internal memo seen by Oregon Live said: “Based on everything we know today, we see no merit to the allegations involving Wei-Jen, and he continues to have our full support,” Tan told employees.
The involvement from Taipei authorities highlights the intensifying pressures around advanced chip-making technology. TSMC, valued at over USD1.5 trillion is the global leader in contract chipmaking, well ahead of the US Intel.
The sources: Reuters, Bloomberg, Oregon Live
