Former LG employee leaks $1b in top secret plasma info to Chinese manufacturer
We've seen some pretty shady dealings from disgruntled ex-employees in the past, but this one may have skyrocketed into the upper echelon of tales of corporate deceit. As the story goes, a 49-year old man known only as Jeong felt the need to copy over some 1,182 top secret plasma display technology-related files onto his personal drive before waltzing out of LG's doors for the final time in July of 2005. A few months later, Chinese manufacturer Changhong-Orion PDP-Chaihong welcomed him with open arms and paid him a fat salary of roughly $300,000 a year (not to mention a few perks: free apartment, vehicle etc.), while casually accepting both the aforementioned files and continued insider leaks at LG -- information supposedly valued at over a billion dollars. But despite Jeong's arrest upon his last return home to Korea, Changhong is still apparently on schedule to produce plasma panels based on LG's technology come this December. Can you say: hot water over international trade-secret law?
[Via The Raw Feed, image courtesy of RPG Classics]
[Via The Raw Feed, image courtesy of RPG Classics]

















Reader Comments (Page 1 of 1)
jmorgan @ Mar 5th 2008 8:24PM
This question doesn't answer the truly important question: "Will the Chinese firm pass the R&D savings along to us, the consumers, when their cheap Chinese plasmas start showing up at the nearest Wal*Mart?" :)
eugene @ Mar 5th 2008 8:48PM
he should be shot as a traitor. What an ass, not just selling out your former employer but to the chinese? Gods, I hope his parents take their own lives in shame.
Joe @ Mar 5th 2008 9:32PM
This is par for the course. It's unusual that this made the news. Industrial espionage is a big cash and time saver for China.
It's only a matter of time before they start cranking out goods of better design and quality than is possible to make elsewhere.
Tech diffusion went UK->US->Japan->Taiwan->Korea->China. Each time they started off making knockoffs then transitioned to first party manufacture then moved to design and eventually R&D.
John Sawyer @ Mar 6th 2008 1:51AM
UK->US->Japan->Taiwan->Korea->China
Who's next in that roughly east to west geographic line--India? Then the various "stans" west of India? Russia and/or its former republics?
Then all the way back around to the UK.
John Sawyer @ Mar 6th 2008 1:55AM
UK->US->Japan->Taiwan->Korea->China
Who's next in that roughly east to west geographic line--India? Then the various "stans" west of India? Russia and/or its former republics?
Then all the way back around to the UK.
Ryan Waddell @ Mar 6th 2008 10:42AM
Don't forget all of Africa too, as far as cheap exploitable labour goes!
JeffDM @ Mar 8th 2008 3:36PM
Ryan, I think the problem with much of Africa is that civil strife and corruption is quite high. As much as I'd like to see some more stable employment there, I can see why there would be some aprehension on the part of the investors.
cdpage @ Mar 6th 2008 1:49PM
China is slowly killing us all.
Not only is labor FREE there, but their R&D is too.
They will have all the jobs, yet no lives worth living, and we'll have no jobs to buy their useless Low end products.
Joe @ Mar 6th 2008 3:25PM
100~150 years ago that is what the Europeans were saying about the US.
We were an undeveloped country that was stealing IP from Europe and making very low cost versions of products due to our very cheap living costs and standards of living. We had draconian living conditions and lived under the thumbs of very rich and powerful aristocrats who used money to buy laws and power to keep the workers down. At times private armies and at times the US army was used to enforce this power over the workers and forcefully make them work.
Things changed here. It took a century of build up and 30 years of rapid change.
I suspect that the same will happen in China.
The way to survive this global change is to pay attention to your interests at home and ensure your footing is stable. If China doesn't take the global role some other country will. It's not important if China takes a leading global role as long as the US is in good shape.