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HTC Design team busted for stealing trade secrets

Posted: , by Alan F.

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HTC Design team busted for stealing trade secrets
On Friday, some departing members of the HTC design team were busted in Taipei for suspicion of fraudulent expense claims and for possibly stealing trade secrets in advance of opening their own design company. Five men, including Vice President of Product Design Thomas Chien, R&D director Wu Chien Hung and senior manager Justin Huang were all cuffed and detained. Chien and Wu remained in custody while the other three were released on bail. Huang was the man who sketched the original design for the HTC One.

HTC VP of Product Design Thomas Chien, now in custody

HTC VP of Product Design Thomas Chien, now in custody

Chien, Wu and Huang had been planning on opening their own design team to focus on companies in mainland China. They had already registered a name for their new firm, "Xiaoyu" and were planning on leaving HTC after receiving their mid-year bonuses. The company caught Chien downloading files relating to the unreleased Sense 6.0 UI which he emailed to a third party. The Taiwan based handset manufacturer's chairwoman Cher Wang reported the incident to Taiwan's Investigation Bureau.

Additionally, the three men split the equivalent of $334,000 USD after scamming HTC out of money by asking an external design house to bill HTC that amount for work that the design house said it performed on the design of the aluminum chassis for the HTC One. The design was actually done in-house.

"The company expects employees to observe and practice the highest levels of integrity and ethics. Protecting the company's proprietary and intellectual properties, privacy and security is a core fundamental responsibility of every employee. The company does not condone any violation. As this matter is currently under investigation by the relevant authorities, we therefore refrain from further comments."-HTC

The story is big news in Taiwan as you can tell from a newscast of the story below.



source: UDN (1), (2) (translated), ChinaNews (translated)

35 Comments
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posted on 31 Aug 2013, 17:19 7

1. JMartin22 (Posts: 713; Member since: 30 Apr 2013)


Annnd that's why I don't like Chinese products. They're either based on someone else's ideas and/or poorly imitated in design and functionality. This applies to HTC to a much less extent though. I'd rather stick to another Asian OEM or Western OEM. Even if it's constructed in China, it's still designed and blueprinted in that native country, Chinese factories are like the brawn to their brain.

posted on 02 Sep 2013, 19:45 1

33. Xenaz (Posts: 88; Member since: 28 Apr 2013)


So you simply judging all chinese or even all asian by looking at only ONE NEWS..... brilliant........

posted on 02 Sep 2013, 21:31

34. chocolaking (Posts: 428; Member since: 22 May 2012)


You are absolutely brilliant! by judging this news written by phonearena. what a great vision you have! :)
on the other hand, Phonearena just can' t make a right article title isn't it?

posted on 31 Aug 2013, 17:19

2. XperiaFanZone (Posts: 1125; Member since: 21 Sep 2012)


Whoa...

posted on 31 Aug 2013, 17:44 42

3. Commentator (Posts: 2295; Member since: 16 Aug 2011)


I understand that you guys (PA) assume people read these articles, but if that's not a misleading title, I don't know what is.

People see "HTC Design team busted for stealing trade secrets" and think "HTC stole somebody's trade secrets" when the story is about how HTC's design team stole secrets... FROM HTC.

Forgetting how misleading the current title could be construed, I'd think adding "from themselves" at the end would be a bigger draw for readers anyways.

posted on 31 Aug 2013, 18:05 4

7. PhoneArenaUser (Posts: 5461; Member since: 05 Aug 2011)


I think that there is no problem with article titles. At least I have read article titles and understood it right.

posted on 01 Sep 2013, 07:43

28. adk199 (Posts: 23; Member since: 04 Oct 2012)


I actually got the point from reading the headline. I think the title would be different if it was from another company :-)

posted on 31 Aug 2013, 18:06 2

8. hadouken (Posts: 17; Member since: 12 Dec 2012)


I suspect it's on intention you get you to click on it. "Employees stole HTC trade secret got busted" won't get as much attention cause we all don't care about some employee. But if they got you to think HTC got in trouble, you read about it.

posted on 31 Aug 2013, 18:56

13. Topcat488 (Posts: 1112; Member since: 29 Sep 2012)


Mr. Chien and 2 other HTC employees who were leaving the Firm to set up their own, got caught emailing unreleased Sense 6.0 UI. After reading Headline sounds about right to me.

But i must agree with evil slaver, i thought HTC stole from others.

posted on 31 Aug 2013, 19:47 3

17. VZWuser76 (Posts: 1207; Member since: 04 Mar 2010)


How about this,
"HTC Design team busted for stealing trade secrets from own company"
Makes it a bit clearer, doesn't it?

posted on 31 Aug 2013, 18:37 2

10. evil_slayer (Posts: 49; Member since: 23 Nov 2011)


actually i agree,first impression came to my mind when i read the title is htc design team stole their current design language from other people,and then i read the article and found out its a completely different thing. and i thought im the only one..

posted on 31 Aug 2013, 19:45 1

16. Penny (Posts: 1105; Member since: 04 Feb 2011)


Your first line pretty much sums up my first thought when I started reading this article. It's also what I was tempted to say to the first comment on this article, but decided not to since you expressed that point here. +1

posted on 31 Aug 2013, 20:29 1

20. raphz (Posts: 35; Member since: 22 Oct 2012)


I second your opinion

posted on 31 Aug 2013, 20:57 1

21. Berzerk000 (Posts: 3881; Member since: 26 Jun 2011)


Agreed.

posted on 31 Aug 2013, 21:54

23. pwnarena (Posts: 825; Member since: 15 Feb 2013)


nothing's technically wrong with the title although i would have wanted apostrophes enclosing "htc design team" to make things clearer.

posted on 31 Aug 2013, 22:03 1

25. Luuthian (Posts: 201; Member since: 09 Sep 2011)


I agree. I assumed exactly this upon seeing the title.

posted on 01 Sep 2013, 14:49

30. fervid (Posts: 173; Member since: 22 Nov 2011)


Exact thing I thought. Even more disappointing when reading and finding out HTC was dumb enough to not know a design for their flagship phone was done on their own property and pay someone else...no wonder they thought they could get away with this.

posted on 31 Aug 2013, 17:47 9

4. Droid_X_Doug (Posts: 5534; Member since: 22 Dec 2010)


Nothing like trying to build a launch fund by scamming your former employer. HTC should sue them for defrauding the company in addition to the criminal charges the crew are facing.

What a bunch of f*cking grifters.

posted on 05 Sep 2013, 03:53

35. MattyP (Posts: 15; Member since: 31 Jul 2013)


Makes ya wonder what else they've embezzled, ideas they've "stolen," and/or sold for profit, throughout their time of employment.

posted on 31 Aug 2013, 17:55

5. bugsbunny00 (Posts: 889; Member since: 07 Jun 2013)


poor thomas now look what you did...

posted on 31 Aug 2013, 17:58

6. AfterShock (Posts: 2125; Member since: 02 Nov 2012)


What a bunch of Ahats.
It effects me little other then to say it makes happy to see scammers caught.

posted on 31 Aug 2013, 18:21 4

9. joepetty1986 (Posts: 4; Member since: 29 Aug 2013)


Wow... HTC has ALWAYS been one of my fav manufacturers ever since the G1. They probably have the best design language in mobile, android at least. But man, this is so sad. Seeing them tank, especially in the way its going is horrible. Its sad when YOUR OWN EMPLOYEES are contributing to ur downfall, evidently there's something MUCH more sinister going on inside them walls that we don't know about. They are like the 2013 edition of Blackberry. Jeez man.

posted on 31 Aug 2013, 18:42 2

11. gazmatic (Posts: 518; Member since: 06 Sep 2012)


click bait title

hahaha

got me here though didn't it

so I guess it worked

posted on 31 Aug 2013, 18:48 1

12. zachattack (Posts: 534; Member since: 31 Jul 2013)


How could you not try stealing from the best phone company XP. Too bad you got caught bitches!!! Sense 6.0 sounds hot !!

posted on 31 Aug 2013, 19:20

14. tiara6918 (Posts: 1322; Member since: 26 Apr 2012)


May justice be finally served.

posted on 31 Aug 2013, 19:33

15. roscuthiii (Posts: 1785; Member since: 18 Jul 2010)


I guess they were "fishing" in HTC's private pond for their business strategy.

HTC - Here's The 'Cuffs

posted on 31 Aug 2013, 19:56 2

18. papss (unregistered)


It should read "ex HTC design team busted"

posted on 31 Aug 2013, 20:26

19. GeekMovement (Posts: 1499; Member since: 09 Sep 2011)


Sad for HTC.

posted on 31 Aug 2013, 21:54 5

22. harigrg33 (Posts: 142; Member since: 20 May 2013)


Oh god htc is a thief...... this is what came into my mind when I read the headline....
pa should not mislead people by giving irrelevant headline which is not at all related to the article.

posted on 01 Sep 2013, 16:28

32. LionStone (Posts: 444; Member since: 10 Dec 2010)


+100 ... It only tarnishes their website when they do this...

posted on 31 Aug 2013, 22:00 1

24. joey_sfb (Posts: 2565; Member since: 29 Mar 2012)


Greed has no boundary.

posted on 31 Aug 2013, 22:07

26. JunitoNH (Posts: 840; Member since: 15 Feb 2012)


Trying to sell secrets to Samsung, on how to built an alloyed phone.

posted on 31 Aug 2013, 23:28 4

27. volcano321 (Posts: 20; Member since: 08 Aug 2013)


PA should not write misleading titles. Makes the site seem cheap. Get clicks on rapid release of news.. not senstational headlines that mislead. Sad..

posted on 01 Sep 2013, 12:39

29. Quezdagreat (Posts: 412; Member since: 05 Apr 2012)


Know I know what HTC stands for: How To Cheat

posted on 01 Sep 2013, 14:55 1

31. androidsbiggestfan (Posts: 76; Member since: 09 Aug 2011)


I think you missed the fact that the employees of the HTC design team were the ones that were busted for stealing trade secrets. The stupidity of some people never ceases to amaze me.

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