Taiwan accuses Apple’s Chinese supplier of commercial espionage

Taiwanese prosecutors said Luxshare Precision Industry, a Chinese supplier to Apple, engaged in illegal activities against its Taiwanese competitor, Catcher Technology, by stealing trade secrets and poaching employees. 14 people have been charged in this case.

Image source: apple.com

New Taipei prosecutors said a year-and-a-half investigation found that Luxshare, a Chinese company, had systematically violated the law against Taiwanese Catcher, “to quickly enter the Apple production chain and receive orders”. A Chinese company allegedly poached a Taiwanese R&D team by promising employees high salaries, and also stole a competitor’s trade secrets, thereby causing significant damage to the competitor. According to prosecutors, Luxshare was engaged in this activity in order to “quickly build factories and mass-produce cases for iPhone, iPad and other products”.

In the case of breach of trust and theft of trade secrets for its subsequent use abroad, the department filed charges against 14 people. Taiwanese Catcher, a manufacturer of iPhone and iPad cases, said it continues to work to protect trade secrets and intellectual property, and will insist on investigation of incidents that violate its rights and interests.

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