Applied VP suspected of leaking Samsung technology to Hynix

Two executives of US-based Applied Materials – including a current vice president of Applied (former head of Applied Materials Korea) – and one Hynix executive have been arrested on charges of leaking documents on Samsung’s chip-making technology to Hynix. It is further said that prosecutors are also investigating another 14 employees from Applied Materials and Hynix, and one from Samsung. Applied Materials disclosed the investigation in a recent SEC-Filing and stated: “Applied has learned that the people indicted and/or arrested include the former head of Applied Materials Korea (“AMK”), who currently serves as a vice president of Applied, and certain other AMK employees. Applied believes that there are meritorious defences to the charges and is taking appropriate measures to address this matter. Applied has strict policies in place to protect the intellectual property of its customers, suppliers, competitors and other third parties, and takes any violation of these policies seriously.”