Three individuals —two current TSMC employees and a former collaborator— have been detained for allegedly stealing proprietary technology related to 2-nanometer chip manufacturing processes. The case, reported by the Financial Times, marks the first legal action under Taiwan’s newly amended National Security Law, which was recently revised to safeguard so-called “core national technologies.”
Authorities have indicated that there are “serious suspicions” of violating national security laws because the stolen secrets are believed to belong to one of the country’s most strategic sectors: advanced semiconductor design and manufacturing.
### A critical and highly sensitive sector
Taiwan, through Taiwan Semiconductor Manufacturing Company (TSMC), has established itself over the past decade as the leading global producer of advanced chips. The company manufactures more than 90% of the world’s most sophisticated semiconductors, including 3 nm and soon 2 nm chips.
TSMC’s strategic importance to Taiwan’s economy and the global tech industry makes its technologies a priority target for international competition and economic espionage, especially amid rising geopolitical tensions with China and the United States.
### A new law against technological espionage
This case marks a turning point. With the enactment of the legal reform, Taiwan tightens its criminal framework against those attempting to steal or commercialize technologies that threaten national sovereignty or competitiveness.
Authorities suggest that leaking this 2 nm technology could have jeopardized years of development, valuable intellectual property, and TSMC’s leadership position against competitors like Samsung and Intel.
The suspects could face up to 12 years in prison and a maximum fine of 3 million dollars if it is proven that their actions endangered the country’s strategic interests.
### TSMC, a frequent victim of talent loss and leaks
This isn’t the first time TSMC has been affected by the departure of engineers carrying confidential information. The company has been involved in multiple conflicts over alleged leaks to competitors, local startups, and foreign firms, some with ties to mainland China.
However, this new case strengthens Taipei’s political and legal message: the theft of cutting-edge technology will be treated as a matter of national security, not just commercial dispute.
### Geopolitical context: technology and power
The scandal emerges at a sensitive time. The race for technological dominance among the U.S., China, South Korea, and Taiwan has placed chips at the center of global rivalry. Companies like TSMC are not only industry leaders but also key pieces in their countries’ geopolitical strategies.
Protecting strategic knowledge has become a national priority for Taiwan, which aims to maintain its leadership amid external pressures and industrial espionage attempts.
via: tomshardware