A former engineer at Intel Corporation has triggered a major internal probe after allegedly downloading thousands of highly-sensitive files shortly before departing the company. Intel now seeks at least USD 250,000 in damages as part of a lawsuit filed earlier this week. The engineer, who joined Intel in 2014, received his termination notice on July 7, 2024 amid a wider sweep of workforce reductions affecting roughly 35,000 employees. Investigators say that during his notice period he attempted to copy files from his work laptop to an external device. Later succeeded in transferring approximately 18,000 files including documents marked “Intel Top Secret”.
Intel internal security systems flagged the activity on July 23 when the employee attempted and failed to move files from his company-issued laptop. A few days later he connected a network-attached storage device and completed the transfer. The firm then opened an investigation and attempted to contact him via phone, email and letters all without response.
Intel complaint states that the stolen material included trade secrets, strategic documents and possibly technical-design information. The company is seeking court orders to recover the data and prevent any disclosure or use of the information outside its walls. Notably this isn’t the first time Intel has sued a former worker for such behaviour. In 2021 it pursued a case when an ex-engineer joined a rival firm with thousands of documents in tow.
For Intel this incident arrives at a sensitive time. The company remains under pressure to cut costs. Reorganize manufacturing and rely on fewer employees factors which may have heightened internal risk. Critics argue that companies undergoing large layoffs need to tighten access controls and monitor insider behaviour more closely. The firm declined comment beyond acknowledging that it filed the lawsuit.
Insider-risk experts say that mass layoffs often amplify ex-employee threats. When workers gain notice of termination, they might exploit remaining access, especially if exit policies and off-boarding processes lag. In this case, the engineer reportedly retained credentials and accessed systems even after knowing his design was ending.
Enforce strict privilege revocation at layoff notification, monitor large file movements, and maintain audit logs of non-standard transfers. Theft of design-level documents can lead not only to legal exposure but to competitive damage in highly-technical fields such as semiconductor manufacturing and hardware design. This case highlights how high-tech firms remain vulnerable not just to external hacks but to insider threats at moments of organisational upheaval. For workers facing layoffs it serves as reminder that access rights don’t expire until the company formally disables them. For firms it underlines that off-boarding must be as resilient as initial onboarding.
