Intel denies TSMC trade secret allegations against executive
Allegations and Background
TSMC's lawsuit, based on Lo's employment contract, non-compete agreements, and Taiwan's Trade Secrets Act, centers on the executive's conduct before his departure. The company claims that despite being reassigned to a corporate strategy role in March 2024—a position that did not oversee research and development—Lo continued meeting with R&D staff and requesting reports on technologies under development.
According to TSMC, Lo told the company's general counsel during his July exit interview that he planned to join an academic institution and did not mention plans to work for Intel. Lo, 75, was instrumental in TSMC's development of cutting-edge 5-nanometer, 3-nanometer, and 2-nanometer manufacturing processes during his tenure.
National Security Concerns
Taiwan's Ministry of Economic Affairs said it would "closely monitor any impact on the industry" and cooperate with prosecutors to determine whether the case involves violations of Taiwan's National Security Act. The ministry's statement underscores the strategic importance of semiconductor technology to Taiwan's economy and national security.
Intel CEO Lip-Bu Tan previously addressed the allegations last week at the Semiconductor Industry Association Awards, calling them "rumor and speculation" and emphasizing that Intel respects intellectual property rights. The case highlights intensifying competition between the two chipmakers as Intel works to regain its manufacturing edge while TSMC maintains its dominance in producing the world's most advanced semiconductors for clients including Nvidia and Apple.
