TSMC Accuses Former Executive of Leaking Trade Secrets as Taiwan Prosecutors Launch Investigation

Taiwan prosecutors have launched a formal investigation into allegations that a former senior TSMC executive, Wei-Jen Lo, leaked confidential company information after joining Intel. Authorities confirmed that investigators executed search warrants on Wednesday, raiding two of Lo’s residences and seizing computers, USB drives, and other digital storage devices. Prosecutors stated that Lo is suspected of violating Taiwan’s National Security Act, a charge that underscores the seriousness of the case as it involves highly sensitive semiconductor technologies.

TSMC, the world’s largest contract chipmaker and a key supplier to major tech companies including Nvidia, filed a lawsuit earlier this week in Taiwan’s Intellectual Property and Commercial Court. The company alleges there is a strong likelihood that Lo transferred or disclosed TSMC trade secrets and proprietary information to Intel. In addition to the raids, the court approved a petition allowing authorities to seize Lo’s shares and real estate as part of the ongoing investigation.

Intel, however, swiftly rejected the accusations. In an emailed statement, the U.S. chipmaker said it has “no reason to believe” there is any truth to TSMC’s claims based on the information available to them. Intel emphasized that it enforces strict internal policies prohibiting employees from misusing or transferring third-party intellectual property, adding that it takes such commitments very seriously. The company also noted that Lo, who rejoined Intel in October after retiring from TSMC, is known throughout the semiconductor industry for his integrity and technical leadership.

Lo previously worked at Intel for 18 years before joining TSMC in 2004, where he played a key role in advancing the company’s cutting-edge 5-nm, 3-nm, and 2-nm chip production technologies. He has not yet commented publicly on the investigation. The case highlights the intense competition and heightened sensitivity surrounding intellectual property in the global semiconductor industry.