Chinese Chipmaker CXMT Hit by Major Samsung Tech Leak Scandal

Chinese Chipmaker CXMT Hit by Major Samsung Tech Leak Scandal


South Korean Prosecutors Charge Ex-Samsung Executives in Explosive Semiconductor Case


South Korean prosecutors have launched a major legal offensive against Chinese memory chipmaker ChangXin Memory Technologies (CXMT), accusing former Samsung Electronics executives of illegally leaking critical semiconductor technology.


The Seoul Central District Prosecutors’ Office confirmed Tuesday that 10 individuals have been indicted, including several former Samsung officials, in what authorities describe as one of the most serious industrial espionage cases in recent years.

Arrests Made as Prosecutors Target DRAM Technology Theft


According to Yonhap News Agency, five suspects have been arrested, including a former senior Samsung executive accused of recruiting key engineers and transferring proprietary chip technology to CXMT. The suspects face charges under South Korea’s Unfair Competition Prevention Act and Industrial Technology Protection Act.

Another five individuals, including current CXMT employees, were indicted without detention on similar charges.

CXMT Allegedly Poached Samsung Engineers to Accelerate Chip Development


Prosecutors allege that shortly after CXMT was founded in 2016, the company recruited a former Samsung vice-president to head its research division. That executive allegedly led efforts to poach top Samsung engineers, focusing on accelerating CXMT’s development of 10-nanometre DRAM technology—a critical component in advanced memory chips.

Semiconductor Self-Reliance Push Faces Setback


The case casts a long shadow over CXMT, which has been seen as a key player in China’s push for semiconductor self-sufficiency amid rising global tech tensions. The allegations raise fresh concerns over intellectual property protection and cross-border technology transfers in the highly competitive chip industry.

Companies Silent as Investigation Continues


As of Friday, Samsung Electronics and CXMT have not responded to requests for comment. Prosecutors say the investigation remains ongoing, with potential implications for the global semiconductor supply chain.

This is a developing story. Updates expected

Source SCMP NEWS

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