Micron and UMC abandon mutual claims in industrial espionage case

The litigation between the Taiwanese UMC and the American Micron Technology, which has been dragging on for several years, has more than once resulted in multimillion-dollar fines for the first of the companies. First, she was sentenced to pay $ 3.4 million directly to Micron, then the US authorities decided to collect $ 60 million from her in favor of the state. The parties to the dispute managed to eliminate all mutual claims, but UMC will pay again.

Image source: Micron Technology

Image source: Micron Technology

In May 2016, let us remind you that UMC entered into a cooperation agreement with the Chinese company JHICC, which expected to organize the production of memory, and therefore the first one attracted three former employees of Micron Technology to its staff. The latter were accused of stealing trade secrets of this American memory manufacturer with the aim of further transferring them to the Chinese Fujian Jinhua. The defendants in the case were found guilty, sentenced to terms of imprisonment from 4.6 to 6.5 years, fines in favor of Micron, and later the American justice decided to recover from UMC another $ 60 million for industrial espionage in favor of the PRC.

In 2018, the US authorities added JHICC to the export control list, which implies a ban on cooperation with its members for all US economic residents and foreign policy allies. This week UMC and Micron in a joint statement reportedthat remove all mutual claims on the use of intellectual property. The American authorities also dropped their industrial espionage claims. However, for UMC this agreement will result in new payments for an unspecified amount. According to some reports, the Chinese company Fujian Jinhua as a result was unable to continue preparations for the mass production of memory chips.


About the author

Dylan Harris

Dylan Harris is fascinated by tests and reviews of computer hardware.

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