Apple's Booming Stocks Makes it More Vulnerable to Revealing of its Secrets

  Apparently, the FBI arrest 4 people who were in an insider trade probe. The four people were hired by AMD, Flextronics, Dell, and TSMC. The Holy Grail for traders looking to game the system, however, were details about Apple’s plans via Flextronics, a contract equipment manufacturer. A Flextronics employee, Walter Shimoon, had the goods on Apple trade secrets through a contract manufacturing relationship. Flextronics supplied camera modules (for Apple's macbooks, iPhones).

The Flextronics Employee, Walter Shimoon, obtained the information:

The New (4g) iPhone will have 2 cameras.

Before the iPad was released, its code name was K48, and the unlucky employee who said "K48" out loud could get him fired. However, this threat didn't stop Shimoon from yapping this to other people.


In conclusion, the point of this is, that between Apple and Flextronics, there were lots of secrets and highly- confidential information that were passed between the 2 companies. For example, Apple informed Flextronics in 2009 about the development of the "iPad" tablet computer. To ensure that this information would not leak, its confidentiality was governed by a non - disclosure agreement executed between those two companies (Flextronics and Apple). 

Shimoon knew that he would get fired if Apple ever found out, and possibly go to jail, but he told various other anonymous people and Primary Global Research which detailed the sale forecasts of current Apple merchandise and the new 4g iPhone that would come out sometime mid-2011.


Apple's sales graph and their current status in the market: