Former TSMC Engineer Faces up to 14 Years in Prison for Technology Theft

[Reporter Chang Hung-yeh / Taipei Report]
The Taiwan High Prosecutors Office has investigated a case involving the theft of TSMC’s (2330) core 2-nanometer technology. The probe revealed that former engineer Chen Li-ming, after moving to Japanese firm Tokyo Electron, sought to obtain mass-production test data of an “etching machine.” To achieve this, he colluded with then-TSMC engineers Wu Bing-yi and Ge Yi-ping, who illicitly extracted process parameters and formulas. On August 27, prosecutors indicted Chen, Wu, and Ge for violations of the National Security Act and the Trade Secrets Act. This marks the first case of trade secret theft of national core key technology under the National Security Act.

Chen, Wu, and Ge were charged with the extraterritorial use of trade secrets involving national core key technology. Prosecutors are seeking heavy sentences ranging from seven to fourteen years of imprisonment. All three remain in custody and have confessed, with their case scheduled to be transferred next week to the Intellectual Property and Commercial Court. Another three engineers, including one surnamed Liao, were implicated only in trade secret offenses prosecutable by complaint; however, since TSMC chose not to pursue charges, prosecutors closed their cases. As for potential corporate or individual liability involving Tokyo Electron, the High Prosecutors Office has opened a separate investigation.

The case originated when TSMC detected irregularities and, on July 8 of this year, filed a complaint with the High Prosecutors Office. Following intensive interrogations of the three defendants and related witnesses, as well as analysis of electronic records and evidence, prosecutors concluded that the evidence of their crimes was clear. Given that the case involves national core key technologies crucial to Taiwan’s industrial lifeline, prosecutors emphasized that it poses a serious threat to the international competitiveness of the semiconductor industry.

[Economic Daily News / August 28, 2025 / Page A3]

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