Former Intel Engineer Sentenced for Trade Secrets Theft

Varun Gupta, a former Intel product marketing engineer with nearly a decade of experience, was recently sentenced to two years of probation and a $34,472 fine for stealing trade secrets and using them for Microsoft. The case, which came to light in 2020, details how Gupta downloaded over 4,000 sensitive Intel files to personal storage devices during his tenure at the company. According to the U.S. Attorney’s Office for the District of Oregon, Gupta continued to access and utilize this confidential information while working at Microsoft, where he participated in ongoing negotiations related to Intel’s chip purchasing strategies. The stolen data reportedly included a PowerPoint presentation containing Intel’s pricing strategy for another major customer, which was used in discussions with Microsoft.

The situation escalated after Intel raised concerns in 2020, prompting a joint investigation between the two companies. This led to a civil lawsuit filed by Intel in February 2021, resulting in Gupta being ordered to pay $40,000. The legal battle continued into the criminal prosecution, with prosecutors seeking an eight-month prison sentence for Gupta, citing his repeated and intentional misuse of Intel’s confidential materials. However, the defense argued that Gupta’s actions were a ‘serious error in judgment,’ emphasizing his permanent loss of high-level employment opportunities and his prior financial settlement with Intel. U.S. District Judge Amy Baggio ultimately delivered a balanced judgment, imposing probation and a fine instead of incarceration.

Now settled in France, Gupta is reportedly transitioning away from the tech industry, focusing on a career in viticulture. According to reports, he has begun studying for a qualification in vineyard management and aims to work as a technical director in the wine business. Despite the legal repercussions, Gupta’s case highlights the ongoing challenges of trade secret protection in a highly competitive tech environment, raising questions about corporate security, employee conduct, and the potential for financial impact on companies like Intel and Microsoft. The case has also drawn attention to the broader implications for the technology sector, including the importance of safeguarding intellectual property and the consequences of unauthorized data access.