TSMC employees arrested for attempting to steal Apple's A20 chip secrets

A high-stakes internal breach has rocked TSMC, with several individuals now in custody for allegedly trying to steal confidential data tied to the company’s next-generation 2-nanometer chip process technology expected to power Apple’s A20 chip in the iPhone 18.

Taiwanese authorities have arrested three suspects, including a current engineer and a former staff member, after TSMC detected irregular access activity within systems linked to its most advanced semiconductor development. The breach involved attempts to extract critical design and production information from the company's 2nm node project.

The stolen data pertains to a major technological leap in chip architecture, where TSMC plans to transition from FinFET to nanosheet transistors. This shift is projected to offer substantial improvements in both speed and power efficiency, forming the foundation of Apple’s upcoming custom silicon.

TSMC, the exclusive chipmaker for Apple’s iPhone processors, quickly responded by tightening internal controls and escalating the matter to authorities. As global demand for advanced nodes intensifies, the case underscores the growing threat of corporate espionage in the race to dominate next-gen semiconductor manufacturing.