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4w ago

Taiwan Investigates SMIC for Alleged Talent Poaching and Technology Access Scheme

Authorities raided 34 locations and interrogated 90 individuals as part of a probe into allegations that SMIC used a shell company to recruit Taiwanese engineers.

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A logo of Semiconductor Manufacturing International Corporation (SMIC) is seen at China International Semiconductor Expo (IC China 2020) following the coronavirus disease (COVID-19) outbreak in Shanghai, China October 14, 2020. REUTERS/Aly Song/File Photo
A general view of the SMIC facilities in Shanghai, March 15, 2024. Photo: AFP

Overview

  • Taiwan's Investigation Bureau is probing whether China's SMIC illegally recruited Taiwanese engineers to gain access to advanced semiconductor technology.
  • Investigators allege that SMIC operated a subsidiary in Taiwan disguised as a Samoa-based company to target local talent.
  • Raids were conducted at 34 locations, and 90 individuals were interrogated as part of a broader investigation into 11 Chinese tech firms.
  • Since 2020, Taiwan has investigated over 100 cases of alleged Chinese efforts to poach engineers and steal semiconductor know-how.
  • SMIC has not yet responded to the allegations, which highlight its efforts to build China's semiconductor capabilities despite U.S. export restrictions.