It looks like South Korea is taking a tough stance against those who engage in “technology transfer” to competing countries, as evidenced by a recent court ruling. A local district court has handed down a severe sentence to a former Samsung employee found guilty of leaking critical chip secrets to CXMT.
China’s CXMT, touted as a leading player in domestic memory manufacturing, reportedly benefitted from an illicit boost in its DRAM process development. According to Sedaily, South Korea’s Central District Court convicted a former Samsung team manager for the unauthorized sharing of trade secrets with CXMT. This action seemingly aided the Chinese company’s advancement in DRAM technology. Here’s a snippet from the court’s statement:
“A large part of the indictment finds that Samsung Electronics unlawfully acquired information on the 18nm DRAM process, considered a national core technology, and proceeded to disclose, leak, and exploit it. Given the substantial investment Samsung Electronics made to develop and mass-produce these 18nm DRAM products, it’s clear that the damages sustained will be significant.”
– via Sedaily
Reports suggest that this Samsung staff member leaked crucial data regarding the 18nm process to CXMT. Due to the ambition of a single individual, South Korea’s pivotal semiconductor technology found its way into Chinese hands. Samsung invested heavily in this mature technology, not only in monetary terms but also in the time invested—since advancements like the 18nm chip signify significant industry breakthroughs. Therefore, the unauthorized transmission of this technology to China has escalated into a national security concern for South Korea.
We’ve noted recently that CXMT is aggressively positioning itself as a competitor to Samsung in the memory arena. They are purportedly advancing in DDR5 technology, and have already launched products for the domestic market. Companies like MSI are now producing compatibility with CXMT modules, a clear indication of the company’s significant presence in the market. It seems CXMT might soon vie for a spot among the top players in the memory manufacturing industry.
Did this technical breach spark CXMT’s entry into the memory market? While it’s speculative at this point, it undeniably poses major concerns for Samsung. The stiff sentence handed down highlights the severity of such offenses, not only in South Korea but on a broader international scale as well.
