Taiwan Semiconductor Manufacturing Co. (TSMC) (2330.TW) / (ADR)(TSM) has initiated legal proceedings against its former senior official, Lo Wei-jen, following suspicions that he misappropriated commercially sensitive material and provided it to their United States rival, Intel Corp (INTC), CNA reports. The foundry confirmed on November 25 that it had lodged a complaint with the Intellectual Property and Commercial Court, citing breaches of the Trade Secrets Act and the terms of his contractual agreements, including noncompetition and secrecy clauses.

This dispute highlights the ferocious competition and immense financial stakes within the global advanced chip manufacturing sector, where a single technological advantage can translate into billions of dollars in revenue and geopolitical influence.

Mr. Lo had served as a vice-president since 2004, attaining the rank of senior vice-president in 2014, before stepping down on July 27 of the current year. Although his final post, secured in March 2024, was Senior Vice-President for corporate strategy and development—a role without direct management of research and development (R&D)—TSMC stated he continued to summon meetings and demand technical updates from the R&D division. The firm alleges his subsequent acceptance of an executive vice-president role at Intel makes it 'highly probable' he has misused or transferred the proprietary data.

The legal action for contractual remuneration violations was deemed 'necessary' by the Taiwanese chipmaker. This move follows an ongoing investigation by the Taiwan High Prosecutors Office, which commenced last week, into media claims that Mr. Lo illegally acquired confidential data concerning TSMC's cutting-edge 2-nanometre, A16, and A14 fabrication techniques before his departure. Criminal charges have not yet been filed by the prosecution.

© 2025 bne IntelliNews, source Magazine