Feature Image is of IBM Logo via via Wikipedia.org via front page of IBM Notice of 2007 Annual Meeting and Proxy Statement.
Beijing Neu Cloud Oriental System Technology Co, Ltd. has sued IBM, a distributor of IBM Power Systems servers, for trade secret misappropriation arising from “fraudulent and unfair business practices.” IBM allegedly encouraged employees at another strategic partner, Inspur, to access Neu Cloud’s customer information without having authority to do so.
The suit says Neu Cloud’s parent company TeamSun “developed technology solutions upon IBM Power Systems products and actively marketed them in China.” Neu Cloud agreed to buy its servers are related equipment exclusively from IBM. The complaint alleges IBM created a new joint relationship with Inspur, forcing Neu Cloud to buy from Inspur instead of IBM Power.
Inspur allegedly accessed Neu Cloud’s confidential customer information from IBM to reach out directly to those customers, harming Neu Cloud.
- The case involves complicated issues involving multiple strategic partners and joint ventures.
- Neu Cloud contends that Inspur profited from the knowledge of Neu Cloud customers.
- Neu Cloud claims that it has lost market share and sales opportunities.
- According to the complaint, “Neu Cloud was completely reliant upon IBM’s good-faith cooperation and willingness to supply Power Systems products on favorable prices and conditions, and IBM controlled Neu Cloud’s pricing and sourcing for its products.”
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