Another case of THEFT at Apple

July 12, 2018 | Brainwave Science


A former Apple employee, Xiaolang Zhang, has been charged with theft of trade secrets from the company, according to MacRumors. Xiaolang Zhang was arrested by Federal agents on Saturday in California while attempting to fly to China. Zhang was questioned by FBI regarding the alleged theft of Apple’s intellectual property, he confessed about the theft and would face up to 10 years in prison and a $250,000 fine.

“Apple takes confidentiality and the protection of our intellectual property very seriously,” Apple spokesman Tom Neumayr said in an email.

Zhang, who now claims to be working for autonomous vehicle startup called XMotors in China, was hired in December 2015 to work on Apple’s self- driving car project designing and testing circuit boards that could analyze sensor data.  Apple has kept that research and development a closely guarded secret, and authorities said Zhang was granted broad access to confidential internal databases.

In April 2018, Zhang went on paternity leave, during which he visited China.  Upon his return, he informed his supervisor that he’d be working for XMotors, a Chinese startup company focused on electric automobiles and driver-less vehicle technology.

When Zhang turned in his two company-issued iPhones and his laptop, his supervisor became suspicious and called in Apple’s New Product Security Team to investigate any possible wrongdoing, according to the court filing. What Apple allegedly found was pretty severe. Zhang had allegedly taken documents from the company, some of which were AirDropped (instant file sharing feature only between apple devices) from his phone to his wife’s laptop. Security cameras at the Apple campus also caught Zhang in the software and hardware labs during his paternity leave, contrary to the company’s corporate policy, authorities said. He also allegedly took a box of hardware that included circuit boards and a Linux server.


With increasing competition, innovation, and sustainability, the corporates are suffering from Intellectual Property Right (IPR) violations like never before. IPR violations which include theft of trade secrets, digital piracy, and the trafficking of counterfeit goods, result in billions of dollars in lost profits annually and the biggest concern for stakeholders and the economy. Failure to protect IPR undermines confidence in the economy, removes opportunities for growth, consumes the U.S.’s technological advantage, and disrupts fairness and competitiveness in the global marketplace. In short, IPR violation is directly proportioned to economic prosperity.

Total theft of US trade secrets accounts from $180 billion to $540 billion per year, according to the Commission on the Theft of American Intellectual Property — as “the world’s principal IP infringer,” China accounts for the most of that theft.

The concern authority- FBI Cyber Division has only 51 dedicated IPR special agents placed in 21 field offices and the Intellectual Property Rights Unit (IPRU). In 2011, the FBI had 471 pending IPR investigations with 46 special agent positions dedicated to working IPR matters in the field. According to federal judicial caseload statistics, the rates for both federal and state trade secret litigation have skyrocketed, and these companies need swift judgement as there is a lot of stakes – one is a competitive advantage. It is evident that the FBI Cyber Division need a revolutionary investigative technique in IPR cases.

When theft of trade secret happens at big technology companies, lawsuits frequently follow, and justice isn’t cheap. According to a survey by the American Intellectual Property Law Association, the average patent-infringement case costs the plaintiff $2.6 million in legal fees and costs so small company suffers a lot.

One of the other problems with suing over trade secrets is that you’ll have to reveal what the secrets are. Ideally, you’ll be able to do this without disclosing everything to the public. Records can be sealed, hearings can be closed, participants can be ordered not to discuss what they see. But you can’t just say you have a secret without describing it in some detail.

So how can FBI Cyber Division provide swift justice to these small/large corporations? How can Federal Agent assure that former employees or business partners aren’t violating the Intellectual Property Rights of a respective company? and a significant question arises that which investigative ultra-modern technology can assist these Federal Agents in linking the perpetrator to the Cyber Crime with limited evidence?

Why iCognative?

The answer is iCognative by Brainwave Science. This remarkable technology is one of the most upgraded and ultimate technology in the security market. Poised to revolutionize the way all crimes are solved including cyber-crimes, financial crimes, and corporate espionage cases. Employees or Business Partners accused of IPR violation are well educated and smart, so why not let the brain do the talking? Let the perpetrator’s brain provide all essential information regarding the theft.

iCognative is a best and suitable innovative security answer to the Cyber-Security problem. Its priority is to support federal as well as state investigations personnel with different levels of security challenges in their efforts to protect intellectual property rights and economy. This technology has unparalleled ability to distinguish between an innocent and a perpetrator, by identifying IPR violation information present in the brain. This revolutionary technology can be of priceless help in other industries such as Counter-terrorism, Border Security, Counterintelligence or Law Enforcement.

Federal authorities can utilize the iCognative solution to determine if a perpetrator’s memory bank contains specific knowledge of the theft, such as the details of the confidential documentation, source of communication, or other current employees involved in this theft. The technology was developed as an unprecedented security solution, accurate, relying only on an automated analysis system, and not on subjective human intervention so it’s unfailing technology to find the missing links. How? This iCognative accurately detects the information stored in a perpetrator’s brain by analyzing particular brainwave responses, called the P300/P300 MERMER. This system is so unique that it can distinguish innocent suspects from perpetrators after the violation of IPR has been executed, using a simple test.

iCognative can be of significant aid in gaining valuable intelligence. To conduct a test on a suspect, the test case needs to be built with confidential information about the IP theft case. This confidential information will be used as stimuli to input into the system in the form of words, phrases or pictures (depending on the available form).  Considering our case, we can use the information such as quantity of confidential documents stolen; source of communication with other corporate; Folders that the perpetrator accessed illegally, his communications with China company he was to join,  did the competitor request the theft; involvement of other current employees in the theft- as inputs into the system to conduct the test on suspects.

Then our supreme technology, iCognative system collects brain responses to each stimulus while flashing stimulus to each suspect and all these brain responses are analyzed at end of the test by fully-automated software and determine with 99.9% accuracy if the information under test is present or absent in the brain of the suspect.

iCognative by Brainwave Science can help provide important intelligence/evidence regarding the theft of IPR and help the FBI Cyber Division in providing swift and fair justice to the corporate, thereby maintaining the balance of the economy. Further application of the system can help in uncovering global corporations who are relying on IPR violation, thereby providing substantial evidence to the International Court of Justice for violation of business ethics. This characteristic makes iCognative by Brainwave Science, virtually unprecedented and one of a kind.



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