English 
Spanish 
4 min read
0 comments
South Korea detains two former Samsung executives who leaked information to China: target was a new semiconductor factory
The chip war between China and the United States continues to bring interesting news from both sides. As China moves towards technological self-sufficiency, the US is pressuring its allies to impose new trade restrictions. The focus is on ASML (of Dutch origin) machines that enable the manufacture of advanced semiconductors.
China was left without access to these machines and is using old equipment that required massive investment. Although this is not the ideal solution, it has allowed advances in its local industry, such as the controversial Huawei Mate 60 Pro, which has components that were targeted by sanctions. In addition to processor chips, memory has also entered the discussion, with companies such as Samsung and SK Hynix being put under pressure. Now, a new controversy arises: South Korea has arrested Samsung workers accused of collaborating with Chinese authorities.
South Korea embroiled in chip war
South Korea, a US ally, plays a significant role in this chip war. It was recently revealed that the Asian country was wary of selling lithography machines to China due to possible retaliation. China, for its part, seeks technological independence at all levels, investing billions of dollars to achieve this goal. However, it has also been accused of industrial espionage on several occasions.
- China puts the world on alert: Asian giant targets the bottom of the ocean to extract trillions of nodules of copper, nickel, cobalt and manganese to hold the world hostage to its supremacy in critical minerals and military operations
- Logistical chaos in sight: 700% increase in container prices and drought in the Amazon are halting imports and exports in Brazil, generating losses of R$21 billion per year
- US sounds alarm bell after China shows it wants to invest BILLIONS in Brazil to finance railways, highways and change the country's economic status
- Territorial dispute between Russia and Ukraine gains new chapter with Turkey's demand for president to Putin. What is at stake?
South Korea, home to two RAM giants, Samsung and SK Hynix, is inevitably drawn into these disputes. According to Tom's Hardware, South Korean police have arrested two former Samsung executives suspected of leaking company secrets to China. The trade secrets involved are estimated to be worth $3,2 billion.
Investigation in progress
South Korean authorities said one of the suspects, identified as Mr. Choi, had set up a chipmaking joint venture in China in partnership with local officials. He served as CEO of the company, Bloomberg reported. Mr. Choi is rumored to have been assisted by a plant designer and tried to recruit other South Korean experts to work with him.
Choi was arrested on suspicion of leaking Samsung's memory technology for building 20nm DRAM chips at a Chinese factory, Chengdu Gaozhen. Police said his actions "weakened the nation's competitiveness at a time when countries are engaged in a global war for semiconductors."
While authorities have said the arrest will disrupt the Chinese company's operations, investigations will continue to see if there are other related cases of industrial espionage. It is worth remembering that in May, a former employee of SK Hynix was arrested for carrying 3.000 pages of semiconductor data.
Industrial espionage in the chip wars
Industrial espionage in the semiconductor sector is a persistent and global problem. In the past, China has also been accused by Taiwan of stealing intellectual property and illicitly luring engineers to boost its development in the chip sector. These moves are aimed at strengthening China’s position in a highly competitive and strategic industry, especially in the context of tensions with the US and its allies.
The Chinese government has invested heavily in domestic semiconductor manufacturing initiatives, partnering with universities and state-owned companies to reduce dependence on foreign technology. Beijing aims to manufacture high-tech chips independently by 2030, posing a challenge to industry giants such as TSMC and Samsung.
Global impact and importance of semiconductors
Semiconductors are crucial to the modern global economy, used in a wide range of products from smartphones to electric cars and medical devices. The global chip shortage, exacerbated by the pandemic and trade tensions, has demonstrated the severe impact that a lack of these components can have on entire supply chains.
With South Korea, Taiwan and the United States among the world’s leading semiconductor producers, the war for this crucial technology is far from over. China, on the other hand, has been investing heavily in research and development to break its dependence on foreign sources and strengthen its domestic industry. The recent case involving the arrest of former Samsung executives highlights the complexity and seriousness of the disputes in this sector.
