TSMC Hit by Shocking 2nm Leak Incident

As TSMC nears mass production of its cutting-edge 2nm process technology, the company is reportedly grappling with an internal security incident that could jeopardize its most advanced chip development.

According to reports, routine security monitoring flagged unauthorized activity potentially linked to confidential 2nm R&D data. In response, TSMC launched an internal investigation, dismissed the employees involved, and has initiated legal proceedings to address what may be a major trade secret leak.

Sources suggest that some now-former employees may have attempted to access or extract key information tied to the development and manufacturing of 2nm chips—a technology TSMC plans to bring to volume production by the end of 2025. While the company hasn't disclosed the nature of the leaked data, industry watchers believe the incident directly affects one of the most expensive and complex semiconductor processes in the world.

In a statement released on August 4, TSMC reaffirmed its zero-tolerance policy toward behavior that endangers corporate secrets or its competitive position. The company pledged to reinforce internal security protocols and cooperate with authorities to safeguard its intellectual assets.

Investigations are still underway to determine the scope of the potential breach, where the leak may have occurred, and whether any external parties were involved. At this point, the motives behind the alleged actions remain unclear.

The situation has drawn attention from Taiwanese officials due to the sensitive nature of sub-14nm technology. Under Taiwan's 2022 national security law, 2nm and similar process technologies are classified as "core critical technologies," making unauthorized access or leakage a prosecutable offense. This case could mark the first major application of that law in a commercial espionage context.

TSMC confirmed that the matter is now in the hands of Taiwan's High Prosecutors Office, though further details have not been disclosed. The company has not revealed how many individuals are involved or the extent of the information that may have been compromised.

Chairman C.C. Wei has previously emphasized that TSMC's technology is difficult to replicate—not only due to its technical complexity but because of the deep operational expertise developed over years of engineering and production. This underscores the high value of the compromised information and the strategic risk posed by any potential leak.

With only a handful of companies worldwide—TSMC, Samsung, Intel, and Japan's Rapidus—possessing the capability to develop 2nm technology, this incident highlights the critical importance of advanced node security in maintaining global leadership in semiconductor innovation.