TSMC, the world’s largest semiconductor manufacturer based in Taiwan, has been in the news after information about its 2-nanometer chip technology was leaked. Nine engineers from within the company allegedly took approximately 400 confidential documents related to the 2nm manufacturing process out of the company. The engineers were detained as part of the investigation into the leak. Suspicions surrounding the Japan-based company Rapidus are also being raised.

TSMC’s trade secrets leaked

According to Taiwanese authorities conducting the investigation, the engineers gained access to the company’s internal systems from their homes. It was determined that the engineers, using company laptops via remote connections, recorded screenshots with their mobile phones and transmitted the information to the outside world.

The documents reportedly included methods, test production steps, and process details used in the 2nm process. Access to the data was reportedly limited to a three-minute period, allowing direct access to the target database.

The file also states that the nine engineers arrested as part of the investigation were caught at a coffee shop while extracting data from TSMC systems. The fact that one of the suspects previously worked at Japan-based Tokyo Electron has raised questions about the nature of the leak.

Taiwanese media has raised allegations that the data was transferred to Japan-based chipmaker Rapidus. Rapidus’s recent progress in 2nm technology is considered a factor that strengthens this connection. However, no official evidence has yet been made public.

In a statement following the incident, TSMC announced that “unauthorized activities” within the company had been detected, leading to potential trade secret leaks. The statement also stated that disciplinary proceedings have been initiated and legal proceedings are ongoing. The company did not disclose any new details about the incident due to ongoing legal proceedings.