Chinese telecommunications company pleads guilty to stealing trade secrets from Motorola
CHICAGO (CBS) -- A Chinese telecommunications firm faces a fine of up to $60 million after admitting it conspired to steal trade secrets from Chicago-based Motorola Solutions, Inc.
Federal prosecutors have said Shenzen-based Hytera Communications Corp. Ltd. recruited and hired former Motorola Solutions employees and directed them to steal digital mobile radio technology that had been developed by Motorola, in order to accelerate the development of Hytera's own digital mobile radios, also known as walkie talkies.
Under the plea agreement, Hytera admitted it had individuals take documents and source code from Motorola's technology beginning in or around 2008, and used it to develop Hytera products, some of which were later sold in Illinois.
Hytera admitted in the plea deal that it knew the information the individuals agreed to steal was kept secret by Motorola, and that taking it could harm Motorola. At the time, Motorola Solutions was headquartered in northwest suburban Schaumburg, it did and still maintains offices in Malaysia.
Under the plea deal, Hytera faces a maximum fine of $60 million, and must make full restitution to Motorola, an amount which will be determined at a sentencing hearing set for Nov. 6 in federal court in Chicago.