Intel Corporation has filed a federal lawsuit against a former software engineer accused of stealing tens of thousands of confidential files containing trade secrets and proprietary technical data. The company alleges that the engineer, identified as Jinfeng Luo, illegally downloaded more than 18,000 documents from its internal servers shortly before his termination in July 2025.
According to the lawsuit, Luo worked at Intel for more than a decade, holding several positions related to software development and product optimization. The company claims that he abused his access privileges to copy confidential material in the weeks leading up to his dismissal, which was part of a company-wide workforce reduction.
Intel’s internal monitoring systems reportedly flagged an unusual attempt by Luo to transfer data on July 23, which the company’s security controls blocked. Five days later, on July 28, Luo is alleged to have succeeded in transferring files using a network-attached storage device. Investigators say that he continued accessing and copying files through the end of his employment, collecting technical documents that were labeled “Intel Top Secret” and “Highly Confidential.”
Court documents filed in the United States District Court for the Northern District of California indicate that the stolen data included detailed design information, source code, system architecture diagrams, and internal engineering notes related to Intel’s ongoing and future projects. The company argues that this information, if exposed, could reveal product blueprints and compromise Intel’s competitive advantage in the semiconductor market.
Intel also claims it spent several months attempting to reach Luo after his departure. The company sent multiple certified letters, emails, and phone calls demanding that he return the stolen data and cooperate with investigators. When those efforts failed, Intel filed the lawsuit seeking at least 250,000 dollars in damages, as well as an injunction to prevent Luo from disclosing or using any of the data.
The complaint describes Luo’s actions as a clear violation of both company policy and federal trade secret law. Intel states that the files in question were never intended for public or external distribution and that unauthorized possession of such material constitutes theft of corporate assets. It also argues that Luo’s conduct demonstrates intent to retain or use the information for personal or competitive gain.
The company has not publicly confirmed whether the data has been shared with outside parties or other firms. However, given the nature of the documents, Intel warns that the exposure could cause “irreparable harm.” Industry analysts note that intellectual property theft cases in the semiconductor sector can result in significant losses, not only through data exposure but also through potential replication of designs by competitors.
The case highlights the persistent challenge of insider threats within high-tech industries. While companies invest heavily in defending against external cyberattacks, incidents involving trusted employees with legitimate access continue to pose serious risks. According to security experts, employees facing layoffs or major career changes are statistically more likely to engage in data theft, either as retaliation or as an attempt to secure future employment opportunities.
Effective insider threat management requires a combination of technical, procedural, and cultural controls. Experts recommend that organisations immediately revoke access credentials for departing staff, audit all file transfer activity, and implement automated alerts for large or unusual data movements. Zero-trust frameworks that verify every access request, even from internal users, can further reduce exposure.
The lawsuit also underscores the importance of maintaining clear policies for intellectual property protection and employee accountability. Many technology firms now require staff to undergo regular training on data handling and confidentiality rules, with penalties for violations made explicit in employment agreements. Such measures are designed to create deterrence while also providing a clear legal basis for enforcement when breaches occur.
In Intel’s case, the potential exposure of thousands of classified engineering documents raises concerns about how companies manage sensitive data during restructuring or layoffs. Corporate governance experts suggest that redundancy cycles are especially risky periods, as employees may still have access to critical systems while being aware that their employment is ending.
The outcome of Intel’s lawsuit could set an example for how major technology firms pursue civil remedies against employees suspected of data theft. Even in the absence of evidence showing that the data has been leaked to competitors, courts can still impose injunctions and financial penalties if there is proof that trade secrets were removed without authorization.
As of now, Jinfeng Luo has not responded publicly to the allegations, and no legal counsel has issued a statement on his behalf. Intel confirmed that it is cooperating with law enforcement and continues to monitor for any signs that the stolen information has been shared online or elsewhere.
The case serves as a reminder that data protection extends beyond software defenses. Human behaviour, particularly among those with legitimate access, remains one of the most difficult risks to predict or control. As companies rely more heavily on digital collaboration tools, ensuring that employees handle sensitive data responsibly will remain a central challenge for corporate security teams across the technology sector.
