Former Samsung executives arrested: Attempted to steal $3.2 billion project for China

South Korean police have arrested two former Samsung officials on suspicion of stealing a project worth $3.2 billion to establish a copycat chip production facility in China.

The Seoul Metropolitan Police Agency described in a statement on Tuesday how the pair collaborated with local Chinese officials to set up a semiconductor plant.

The police statement noted that one of the two, identified as a 66-year-old surnamed Choi, hired South Korean chip experts and leaked Samsung memory projects through a joint venture.

As tensions between Beijing and Washington escalate due to sanctions targeting China's chip sector, details from a case that first emerged in 2023 have resurfaced.

Attempted to copy the entire production facility

In this incident, a former Samsung executive had been arrested on allegations of stealing projects to attempt to copy an entire production facility in China.

Seoul police announced that a serious security breach was carried out through Chengdu Gaozhen, a Chinese joint venture.

The police statement said that Choi served as the head of the venture and received assistance from a factory designer surnamed Oh.

Police noted that the pair collaborated with officials last year to produce 20-nanometer DRAM chips.

It was stated that this incident not only harmed Samsung but also weakened the country's competitiveness while nations are in a global chip war.

Police had stated that their investigations successfully halted the operations of the Chinese venture, but they are still investigating other technology leaks. 

News Source: 12punto