Samsung's latest bendable screen technology has been stolen and sold to two Chinese companies, according to prosecutors in South Korea.
The Suwon District Prosecutor's Office charged 11 people on Thursday with stealing tech secrets from Samsung (SSNLF), the office said in a statement.
Crime, law enforcement and corrections
Law and legal system
Larceny and theft
International relations and national security
Continents and regions
Receiving stolen property
The prosecutors allege that a Samsung supplier leaked blueprints of Samsung's "flexible OLED edge panel 3D lamination" to a company that it had set up. That company then sold the tech secrets to the Chinese firms for nearly $14 million, according to the prosecutors.
They did not name the people or companies involved in the theft.
Samsung Display, a subsidiary of the South Korean conglomerate, said in a statement Friday that it was "surprised and appalled at the results of the investigation by prosecutors."
The findings come at a time of intensifying competition for new tech among rivals.
Prosecutors said Samsung invested six years and some 150 billion won ($130 million) to develop the bendable screen.
As demand for high-end smartphones begins to wane in key markets, companies have been searching for the next big thing to convince consumers to upgrade their devices.
Samsung's bendable screen had been hyped as a potential game changer. The company teased the tech at a conference earlier this month, showing images of a new folding smartphone.
Samsung is the world's largest smartphone maker, accounting for about 20% of global market share last quarter, according to research firm Canalys.
Investigators have not been able to track down and question two Chinese individuals believed to be involved in the case, and have asked Interpol to help find and detain them. Of the 11 people indicted, three have been detained.
A trial date has not yet been set.
- Samsung's folding screen tech has been stolen and sold to China
- US jobs report; Bumper quarter for Samsung; China tech hit
- Couple folds American flag ripped from pole
- Samsung's new smart TV is a tech chameleon
- Samsung's next move: A $22 billion bet on new tech
- Central bankers meet; Tech summit; Samsung's new smartphone
- How tech companies are addressing screen addiction
- After more than 60 years, The Village Voice folds
- First look at folding wings on Boeing's 777X jetliner
- How American cars are really sold in China