2 South Korean cable makers in legal spat over allegations of technology theft

LS Cable & System Alleges Technology Theft

LS Cable & System (LS C&S) says Taihan Electric Wire (TEW) wrongfully obtained the design and layout for its specialized submarine cable manufacturing equipment. According to LS C&S, those layouts show how it makes and moves cables that span tens of kilometers and weigh thousands of tons, so the company treats them as core intellectual property.โ€‹

The firm also stresses that this facility design supports safe handling, storage, and processing of heavy submarine cables, and that the configuration reflects years of engineering and operational experience.โ€‹

The dispute escalated on July 11, when police reportedly named TEW as a suspect under South Koreaโ€™s Unfair Competition Prevention and Trade Secret Protection Act and searched its headquarters. LS C&S called the alleged conduct a โ€œclear criminal actโ€ and says it will pursue every legal option if investigators confirm the claims.โ€‹

A key question focuses on whether an architectural firm passed LS C&Sโ€™s floor plan data to TEW. LS C&S says it shared sensitive layout data with that firm for its own plants and now suspects that elements of those designs may have influenced TEWโ€™s new factory.โ€‹

Taihanโ€™s New Submarine Cable Plant and Expansion Plans

Taihan Electric recently opened a submarine cable plant in the Godae district of the Asan National Industrial Complex in Dangjin-si, Chungcheongnam-do. The facility supports TEWโ€™s push into offshore wind and power cable markets.โ€‹

TEW also plans a second submarine cable plant in the same area, targeting completion in 2026 and full operation in 2027, which will expand its HVDC and HVAC cable capacity.

Taihan Responds to LS Cable Taihan Technology Theft Allegations

TEW strongly denies technology theft. The company argues that its submarine cable factory layout does not represent core technology and says it has no reason to obtain a rivalโ€™s drawings.โ€‹

It also claims that LS C&S holds a dominant position in South Koreaโ€™s submarine cable market and says the country needs stronger domestic competition to guard against foreign rivals. TEW plans to defend its reputation while cooperating with the investigation.โ€‹

Mark Marselli
Author: Mark Marselli

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