Three individuals are apprehended for theft of confidential information from TSMC, a prominent semiconductor manufacturer.
TSMC Investigation: Leaks of 2nm Chip Technology Under Investigation
A significant investigation is underway in Taiwan, as the High Prosecutors Office's Intellectual Property Branch has detained three individuals for violations of the National Security Act. The investigation centres around the leak of TSMC's 2nm chip technology, a critical advancement in the semiconductor industry.
The leaked data is believed to have been shared with Japanese startup Rapidus, and there is a suspected link involving Tokyo Electron (TEL), a supplier to both TSMC and Rapidus. However, no evidence suggests TEL was aware or complicit in the leak.
The Taiwanese company, TSMC, discovered suspicious activity during routine monitoring in July 2025. The company has since fired several employees involved and initiated an internal investigation. The alleged trade secret leaks involve attempts to exfiltrate core proprietary data related to the 2-nanometer chip manufacturing process.
The National Security Act applies to this case due to the critical nature of the technology, with potential penalties including up to 12 years imprisonment and substantial fines. The authorities are treating this as a matter involving "serious national core critical technologies."
Regarding the impact on tariff negotiations between Taiwan and the United States, no public information connects the trade secret leak investigation directly to the current negotiations. The focus remains on safeguarding Taiwan’s semiconductor leadership and national security.
TSMC has maintained a zero-tolerance policy toward actions that compromise trade secrets or harm the company's interests. The advanced 2nm technology's leakage is being carefully assessed, but it is reportedly not critical enough alone to compromise TSMC’s competitive edge.
The 2nm chip technology is expected to be used in upcoming smartphones and high-performance computers. The Taiwanese company's 2nm chip technology is scheduled to move into a large-scale production plan in late 2025. If confirmed, the leaks could potentially disrupt the production plans and market release of the technology.
The investigation into the matter is ongoing, with authorities and TSMC continuing to assess the full extent and implications of the leak. The accused individuals are believed to have been involved in leaking top trade secrets from TSMC, obtaining TSMC's national core technology without permission.
Sources: [1] Taiwan News [2] Reuters [3] Nikkei Asia [4] Bloomberg [5] The Wall Street Journal
- This investigation by Taiwan's High Prosecutors Office's Intellectual Property Branch, concerning the leak of TSMC's 2nm chip technology, is attracting global attention, particularly in the realm of general-news and national business.
- The alleged sharing of TSMC's critical technology with Japanese startup Rapidus, and the suspected link with Tokyo Electron (TEL), underscores the potential threat of technology leaks in the international semiconductor industry.
- Given the gravity of the situation, the authorities are treating this leak as a serious crime-and-justice issue, with potential penalties that include significant imprisonment and fines.
- The PTI implicates US-Taiwan business and finance relations, as the investigation into the trade secret leak might indirectly influence ongoing tariff negotiations between the two nations.
- The consequences of the leaked 2nm chip technology could extend beyond business, potentially impacting the world's tech landscape, especially in smartphone and high-performance computer markets.
