An organization in Taiwan has been fined $60m after pleading guilty to stealing commerce secrets and techniques from an American semiconductor firm.
United Microelectronics Company (UMC), a semiconductor foundry primarily based in Hsinchu that turned 40 this yr, admitted to swiping secrets and techniques from Micron Technology, a number one producer of pc reminiscence and pc knowledge storage that’s headquartered in Boise, Idaho.
UMC was indicted by a United States federal grand jury in September 2018 for conspiracy to steal, convey, and possess commerce secrets and techniques stolen from Micron for the good thing about the Fujian Jinhua Built-in Circuit Firm.
Fujian, a state-owned enterprise of the Individuals’s Republic of China, was additionally indicted on the identical costs, together with three people UMC says it employed from Micron’s Taiwan subsidiary. The corporate denies any wrongdoing.
Yesterday america Justice Division introduced that UMC had admitted stealing the secrets and techniques and had agreed to cooperate with the US authorities within the investigation and prosecution of its Chinese language co-defendant.
In a assertion launched on October 28, the Division of Justice stated: “Because of in the present day’s responsible plea, and in accordance with an accompanying plea settlement, UMC, whose American Depository Receipts are publicly traded on the New York Inventory Alternate, pays the nice—the second largest ever in a prison commerce secret prosecution, be topic to a three-year time period of probation, and cooperate with america.”
Below the plea settlement, UMC pleaded responsible to 1 depend of prison commerce secret theft. Different prison costs and a parallel civil swimsuit by america towards the Taiwanese firm will probably be dismissed.
The prison prosecution of Fujian and the three particular person defendants will proceed, with a trial US Legal professional David Anderson deemed prone to happen subsequent yr.
Persevering with is also a civil motion that seeks to ban Fujian from the additional switch of stolen commerce secrets and techniques and from the export to america of merchandise manufactured by the PRC-owned firm utilizing commerce secrets and techniques stolen from Micron.
“UMC stole the commerce secrets and techniques of an American chief in pc reminiscence to allow China to realize a strategic precedence: self-sufficiency in pc reminiscence manufacturing with out spending its personal time or cash to earn it,” stated Deputy Legal professional Normal Jeffrey Rosen.