ASML reports this in its annual report.
In 2014 and 2015, former employees, including one Zongchang Yu, stole the secrets from an American subsidiary of ASML stolen from an American subsidiary of ASML by then employees. After leaving ASML, Yu set up his own company there called Xtal, which developed products based on the stolen ASML technology. That was broken by ASML.
In addition to the United States, Yu had also started a company in China. It appears that it is still active. Dongfang Jingyuan is also partly financed by two investment companies that are said to have ties to the Chinese government. ASML says it approaches customers with the message not to do business with this company, and that they are on the fence about taking legal action.
no blueprint
ASML is the only party in the world that makes chip machines with which the most advanced semiconductors can be manufactured. However, Chinese companies are not allowed to buy them because the devices are considered strategic goods. ASML does export machines with technology from older generations to China.
The stolen knowledge is said to be a niche part of ASML’s lithography technology. “It is therefore not the case that Dongfang suddenly has the complete blueprint of our machines in hand,” said CFO Roger Dassen to the FD last year. ASML has never wanted to speak of involvement of the Chinese government in the theft of its trade secrets.