Apple Sued for Stealing Trade Secrets to Hurt Supplier | NTK Network Apple Sued for Stealing Trade Secrets to Hurt Supplier

Apple Sued for Stealing Trade Secrets to Hurt Supplier

In an amendment to a previous lawsuit, Apple is facing charges that it stole “vast swaths” of confidential information and gave it to a rival supplier.

By NTK Staff | 09.25.2018 @12:00pm
Apple Sued for Stealing Trade Secrets to Hurt Supplier

Tech giant Apple is facing new allegations Tuesday as chip supplier Qualcomm amended its previous lawsuit against the Cupertino company for stealing “vast swaths” of privileged information and “trade secrets,” and giving it to rival chip supplier, Intel.

Apple first sued Qualcomm in January 2017, which triggered a countersuit later that year. Tuesday’s allegation is the latest development in the back-and-forth between the two companies.

In its complaint, Qualcomm says it is making the latest charges after discovery in the current lawsuit allowed it to unearth evidence that Apple engineers repeatedly provided source code and other confidential information to Intel engineers so they could improve the performance of Intel’s chips.

For several generations of iPhones, Apple primarily used Qualcomm as its modem chip supplier. Apple then added Intel as a second supplier in 2016 to cut down on costs and later refused to pay royalties to Qualcomm.

The problem, however, is that Qualcomm’s technology is further advanced than Intel’s. Qualcomm is recognized as the worldwide leader in 5G technology, the next generation in mobile technology. If Apple stole trade secrets regarding 5G technology from Qualcomm and gave it to Intel, that would be a very serious violation. In 2017, PC Magazine reported that the technology gap between Qualcomm and Intel was closing.

“Unlawful use of Qualcomm’s valuable trade secrets to try to help a competitor catch up irreparably harms us and must not be allowed to continue,” Qualcomm’s general counsel, Donald Rosenberg told CNBC.

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