Latest news with #Tokyo Electron


South China Morning Post
3 days ago
- Business
- South China Morning Post
TSMC trade secrets leak puts Japan's Tokyo Electron on hot seat
A Taiwanese investigation into the possible theft of chip technology at Taiwan Semiconductor Manufacturing Co (TSMC) is putting a low-profile, lesser-known tech linchpin in Japan under unusual scrutiny. Among the six people arrested by Taiwanese prosecutors for allegedly stealing trade secrets from the world's largest contract chipmaker was a former employee at Tokyo Electron. Now, the Japanese company – one of the world's biggest suppliers of chipmaking tools – is struggling to address the potential fallout with one of its most important customers and with governments in Tokyo and Taipei. Tokyo Electron said that it fired an employee at its Taipei unit in connection with the case and was cooperating with the ongoing investigation. Its shares fell 2.5 per cent on Thursday to their lowest since late April. Taiwan makes the most advanced semiconductors in the world, and its companies have regularly been targeted for their intellectual property by entities with ties to China, which is pushing hard to develop its own chip capabilities. The Tokyo Electron arrest raises questions about why its employee would be involved in such an endeavour, whether it would have any motivation to steal TSMC trade secrets and whether the case ties into Japan's own ambitions to build a domestic chip industry. 'The fact that Tokyo Electron has come under the spotlight in this way feels like an unfortunate accident,' said Atsushi Osanai, a professor at Waseda University. On Wednesday morning, in team meetings around the organisation, Tokyo Electron employees were instructed to refrain from talking about the case, people familiar with the matter said, asking not to be named describing private information. Company managers flew to Taiwan to deal with the aftermath, one person said.


Japan Times
3 days ago
- Business
- Japan Times
TSMC trade secrets leak puts Tokyo Electron in hot seat
A Taiwanese investigation into the possible theft of chip technology at Taiwan Semiconductor Manufacturing Co. (TSMC) is putting a low-profile, lesser-known tech linchpin in Japan under unusual scrutiny. Among the six people arrested by Taiwanese prosecutors for allegedly stealing trade secrets from the world's largest contract chipmaker was a former employee of Tokyo Electron. Now, the Japanese company — one of the world's biggest suppliers of chipmaking tools — is struggling to address the potential fallout with one of its most important customers and with governments in Tokyo and Taipei.
Yahoo
3 days ago
- Business
- Yahoo
TSMC employees reportedly stole 2nm trade secrets to share with Rapidus — accused are said to have shared 'hundreds of process integration technical photos'
When you buy through links on our articles, Future and its syndication partners may earn a commission. TSMC employees accused of stealing the foundry's trade secrets related to its upcoming 2nm-class fabrication process allegedly shared their findings with Japan-based foundry startup Rapidus, according to The perpetrators reportedly shared 'hundreds of process integration technical photos' with the Japanese company, though their exact relationship with Rapidus is unknown and it is unclear whether the chipmaker asked for the said assets. TSMC and the Intellectual Property Branch of the Taiwan High Prosecutors Office (THIP) are investigating a serious internal breach involving trade secrets related to TSMC's 2nm-class process technology. At least one current employee is suspected of working with a former colleague who now works at Tokyo Electron (TEL) to transmit sensitive data to Rapidus. There is no current evidence TEL was involved or was aware of the activity. TSMC's internal systems flagged irregular activity, leading to an internal probe that confirmed exposure of corporate secrets. The suspected collaboration involves two individuals — one still employed at TSMC and another who moved to TEL , which is a supplier of both TSMC and Rapidus. The exchange between the two included 'hundreds of process integration technical photos,' which may have been used to fine-tune manufacturing tools essential for advanced node production, the report says. However, it is still unclear what kind of photos or pictures were shared. Process integration activity combines individual process steps — such as deposition, etching, lithography, etc. — into a coherent flow that results in a working device. Typically, 'process integration technical photos' are highly detailed images or diagrams that show how various fabrication steps are combined into a complete and functional chip structure. Keep in mind that we are speculating here, as the report does not detail the contents of the photos are considered extremely sensitive because they reveal proprietary process flows, design structures, layer materials, and integration techniques. They may expose key innovations such as gate-all-around transistors or specific patterning strategies, and offer deep insight into the particular production node — and even the company's capabilities in general. However, given how complex modern process technologies are, such images can — even though they are sensitive — barely serve as a blueprint for process development or integration. However, they can certainly help to fine-tune tools (at least some tools, and only to a certain degree). Rapidus claims that it co-developed its 2nm-class manufacturing technology with IBM (for what IBM got into a legal action with GlobalFoundries) and is currently conducting trials of the production node. The technology is expected to enter mass production in 2027. Since TSMC's and Rapidus's 2nm-class production nodes are different and the two companies even have different views on how wafers should be processed, it is unlikely that the foundry could get a lot of useful information for its fab from TSMC's 'process integration technical photos.' However, such information could give an idea to competitive analysis teams about what TSMC's N2-series fabrication technologies are about. Keep in mind that the reports about employees stealing TSMC's 2nm-related trade secrets are vague (to put it mildly), and should be taken with grain of salt. While the initial reports said that up to six people were involved in the wrongdoing, the new report claims that there were 'around' 10 perpetrators. Also, the initial reports failed to detail what information was stolen from TSMC, and the new report mentions 'hundreds of process integration technical photos,' but does not disclose what was on those images. For now, it is hard to evaluate what exactly happened or assess the possible damage to TSMC and/or benefit to Rapidus (if any). Follow Tom's Hardware on Google News to get our up-to-date news, analysis, and reviews in your feeds. Make sure to click the Follow button. Solve the daily Crossword


NHK
4 days ago
- Business
- NHK
Tokyo Electron: Ex-worker is one of 3 people detained over TSMC secrets theft
Japanese chip-making equipment maker Tokyo Electron says a former employee of its Taiwan subsidiary was involved in the alleged theft of trade secrets from Taiwan Semiconductor Manufacturing Company. Tokyo Electron said on Thursday that it had dismissed the person for breaching its standards for legal compliance and ethical conduct. Prosecutors in Taiwan announced on Tuesday that they had detained three people for allegedly illegally obtaining information on sensitive technology from the world's largest contract chipmaker. Local media are reporting that the detained people are suspected of leaking details overseas about TSMC's advanced 2-nanometer chip technology, whose mass production has not yet started. But Tokyo Electron says its internal investigation has not confirmed any evidence of the respective confidential information being shared to any third parties. The company added that it is fully cooperating with Taiwanese authorities for the investigation.


South China Morning Post
5 days ago
- Business
- South China Morning Post
Taiwan arrests 6 in probe of TSMC chip technology leak
Taiwan prosecutors arrested six people suspected of stealing trade secrets from Taiwan Semiconductor Manufacturing Co (TSMC) , opening an investigation into a potential breach of national security involving a global tech industry linchpin. Advertisement The chipmaker to Nvidia reported a number of former and current staff to authorities on suspicion they illegally obtained core technology. A total of six people were arrested, with two posting bail and one released afterwards, said Taiwan High Prosecutors Office spokesman John Nieh. Prosecutors searched the homes of some staff between July 25 and July 28, the agency said in a statement. It is now trying to find out if data had been leaked to other parties. TSMC is the world's most advanced maker of semiconductors, from Nvidia AI accelerators to Apple iPhone processors. The case coincides with a quickening race by the likes of Meta Platforms and DeepSeek to develop artificial intelligence in the post-ChatGPT era, which requires billions of dollars in servers and data centres. On Tuesday, Nikkei reported that TSMC fired several employees suspected of trying to obtain critical information on 2-nanometre chip development. That next-generation semiconductor process is entering mass production in the second half of this year. Local investigators also searched the Taiwanese premises of Japanese supplier Tokyo Electron, the Financial Times reported. Company representatives declined to comment. Advertisement TSMC took disciplinary action against personnel involved and initiated legal proceedings, the company said in a statement, without elaborating. It conducted an internal investigation and identified the issue 'early', the firm added in its statement.