11:07 AM EDT, 08/27/2025 (MT Newswires) -- Taiwan Semiconductor Manufacturing's ( TSM ) former employee and two others have been charged by Taiwanese authorities for allegedly misappropriating the chipmaker's confidential chip technology to help Tokyo Electron secure additional contracts, media outlets have reported Wednesday.

Prosecutors alleged that Chen Li-ming, a former staff of Taiwan Semiconductor, obtained confidential information from former colleagues and, after moving to Tokyo Electron's marketing team, provided that information to the company. The data was allegedly used to improve the latter's etching equipment for Taiwan Semiconductor's 2-nanometer chip production, the reports said.

Chen, along with the other two defendants, Wu Ping-chun and Ko Yi-ping, were taken into custody earlier this month. They are facing charges under Taiwan's national security legislation which, according to reports, is the first case of its kind involving trade secrets related to vital technology.

Prosecutors are seeking prison terms of 14 years, nine years and seven years, respectively, the reports said.

Taiwan Semiconductor Manufacturing ( TSM ) did not immediately respond to MT Newswires' request for comment.

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