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Trade secrets stolen from TSMC helped Samsung win Apple’s A9 chip business, rules Taiwanese court

Taiwan’s top court has ruled that former TSMC R&D director Liang Mong-song revealed to Samsung trade secrets that enabled it to copy the chipmaker’s FinFET manufacturing processes, reports DigiTimes. The processes are used by both companies to produce the A9 chips used in the upcoming new iPhones.

It was recently suggested that Apple was playing off the two companies against each other, with Samsung reportedly offering discounted prices in order to “grab the majority of A9 chip orders.”

The ruling of the second-instance court was according to an analysis conducted by third-party experts regarding key manufacturing processes of TSMC and Samsung […]

“The 16nm and 14nm FinFET products that both companies will mass produce this year were even more alike,” the report indicated. “It could be hard to tell (if the product) came from Samsung or TSMC if only structural analysis is used.”

Liang resigned from TSMC to take up a position at a Samsung sponsored university where all the students were said to be Samsung employees.

As Patently Apple notes, the penalty for passing on the trade secrets hardly acts as a deterrent: Liang has merely been banned from working for Samsung for a period of four months.

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Comments

  1. I had no idea Samsung copies even this. Don’t they want to be renamed to Copysung? It would suit them very well.

  2. scumbolt2014 - 9 years ago

    Wonder how long Scamscum will drag this out in court. Dirtbags.

  3. nonyabiness - 9 years ago

    And Samsung *steals* the show again.

    Courts around the world – want to know how to stifle innovation? Give the guilty ridiculously small penalties for stealing IP. For example, make the guilty party force the wrongdoers into a 4 month paid vacation.

    Courts around the world – want to know how to foster innovation? Give the guilty ridiculously large penalties for stealing IP. For example, fine the guilty company in excess of the profits they will make from the stolen IP. In this case, fine those responsible ~20 billion dollars.

  4. mpias3785 - 9 years ago

    I’m surprised that Samsung isn’t worried that their penchant for IP theft may come back and bite them one of these days. Does TSMC have any legal recourse?

  5. mytawalbeh - 8 years ago

    Samesung = copy machine “unfair player”

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Avatar for Ben Lovejoy Ben Lovejoy

Ben Lovejoy is a British technology writer and EU Editor for 9to5Mac. He’s known for his op-eds and diary pieces, exploring his experience of Apple products over time, for a more rounded review. He also writes fiction, with two technothriller novels, a couple of SF shorts and a rom-com!


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