Taiwanese prosecutors on Wednesday charged three people with stealing trade secrets relating to TSMC's most advanced 2-nanometer chips to help a Japanese company that makes equipment for the chipmaking giant.

Taiwan Semiconductor Manufacturing Company (TSMC) is the world's largest contract maker of chips, used in everything from smartphones to missiles, and counts Nvidia and Apple among its clients.

The three people — including a former TSMC engineer who went to work for Tokyo Electron's Taiwan subsidiary and two staff employed by the chipmaker — were charged under the National Security Act and the Trade Secrets Act.