Trade Secrets
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Thinkpad To prevent the use of its core head technology from being used by a competitor Seagate Technology has filed suit.
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File Transfer Protocol (FTP) is the simplest way to transfer web page files from your computer to the Charter web server for anyone to view.
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Laptop Computer Aug 9, 2004 (AXcess News) Scottsvalley CA - To prevent the use of its core head technology from being used by a competitor Seagate Technology (NYSE: STX) has filed suit in Minnesota State Court for Hennepin County to prevent the misappropriation of trade secrets by Pete Goglia, a former employee who will join Western Digital Corp. (NYSE: WDC), a Seagate competitor.
Katz runs the company with 22 paid employees and 300 volunteers who give technical support to new users and are compensated with free memberships (remember those days at AOL ). He rents space in two AT&T data centers, one in Manhattan, another inSecaucus, N.J., with $700, 000 worth of computer equipment, end servers from Dell Computer and five IBM Unix servers. The $2 million annual payroll is his biggest expense.
Desktop Computer Goglia was employed at Seagate for 17 years and worked extensively on its read/write head development efforts. In Seagate's complaint, the Scottsvalley-based company was asking for an injunction to block Goglia from working in certain defined areas of Western Digital's read/write head development organization for a limited time period to avoid a misappropriation of trade secrets."This is a situation in which one of our competitors has recently acquired the read/write head assets from a bankrupt supplier, and has stated their need to strengthen their capabilities in that technology," said Dave Wickersham, Seagate chief operating officer. "We do not wish to impugn Mr. Goglia, but only to ensure that Western Digital does not build its new recording head capabilities with Seagate trade secrets."The suit contends that Mr. Goglia will, in the course of his employment, inevitably disclose proprietary information that is confidential to Seagate, which would violate various statutes and his confidentiality agreements with Seagate.A spokesperson for Western Digital was unavailable to comment on the Minnesota compliant.The market reacted cautiously to Seagate's news with both stocks trading down.AdvertisementShares of Seagate Technology (NYSE: STX) closed Friday at $10.80, down 29 cents.
Notebooks Shares of Western Digital Corporation (NYSE: WDC) closed Friday at $6.80, down 22 cents.
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