US-Based Google Engineer Arrested for Stealing AI Secrets for Chinese Firms

California-based Chinese national and former Google employee Linwei Ding was charged with four counts of theft of trade secrets related to AI. Ding was arrested last Wednesday. The federal grand jury alleges that Ding secretly extracted proprietary information from Google's network, transferring it to his account while associating himself with two China-based technology companies operating in the AI sector.

The 38-year-old software engineer working with Google since 2019, uploaded over 500 confidential files containing AI trade secrets between May 2022 and May 2023.

According to the charges, Ding's theft included sensitive details concerning the building blocks of Google's advanced supercomputing data centers, supporting machine learning workloads for large AI models. These models possess the capability to understand complex language and generate intelligent responses.

The indictment further outlines Google's proprietary hardware, incorporating advanced computer chips, and software, including a Cluster Management System (CMS), orchestrating efficient machine learning processes. As Ding allegedly pilfered these trade secrets, he also maintained covert affiliations with Chinese tech companies, one of which offered him the position of Chief Technology Officer.

“The Justice Department will not tolerate the theft of artificial intelligence and other advanced technologies that could put our national security at risk,” said Attorney General Merrick Garland.

Ding's actions violated his employment agreement and a code of conduct signed during his tenure at Google. The charge emphasizes his efforts to conceal his theft, such as copying data to the Apple Notes application and later converting it into PDFs for uploading, evading Google's detection systems.

Additionally, Ding allegedly deceived Google by allowing another employee to use his access badge, making it appear he was working in the U.S. when he was actually in China.

Ding faces a maximum penalty of 10 years in prison and a US$ 250,000 fine for each count if convicted. The investigation, led by the FBI and the Commerce Department, aligns with the Disruptive Technology Strike Force, an interagency initiative to protect critical technology and supply chains from illicit actors and hostile nation-states. 

FBI Director Christopher Wray described the charges as “the latest illustration of the lengths affiliates of companies based in the People’s Republic of China are willing to go to steal American innovation.” “The theft of innovative technology and trade secrets from American companies can cost jobs and have devastating economic and national security consequences.”

The case exemplifies the broader tensions between the U.S. and China regarding technology and trade, with the Justice Department expressing zero tolerance for theft that could compromise national security.