NEW YORK – General Electric (GE) sues German rival Siemens Energy yesterday, alleging it exploited the United States giant’s trade secrets to obtain billions of dollars in business.
A federal suit filed by GE in Virginia alleged that Siemens used information obtained when the companies were competing in 2019 on a large contract for gas turbines with Dominion Energy.
A Dominion employee shared details of GE’s bid with an employee at Siemens, who instead of destroying the information, shared it with Siemens colleagues to adjust their bid.
According to the complaint, Siemens ultimately obtained Dominion work, worth between US$225 million (RM908 million) and US$340 million.
The US company said it learned of the problem only after Dominion told GE that its trade secrets had been improperly disclosed.
It added that Siemens also disclosed the matter to GE, but only after first telling Dominion.
“Compounding the harm to GE, Siemens to this day has steadfastly refused to assure GE that the stolen trade secrets have been destroyed,” the suit said.
Siemens said it has not reviewed the suit, but defended its conduct, saying it disclosed the compliance breach to both Dominion and GE after completing an internal investigation.
The company undertook “swift and appropriate discipline” of employees involved, including separation, removed the “confidential competitor information” from all Siemens systems, and undertook “additional compliance training for all employees” in the US, a Siemens spokesman said.
“Siemens Energy’s integrity is foundational to our operating principles and will not be compromised under any circumstances.” – AFP, January 15, 2021
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