Augmented-reality start-up Magic Leap stumbles in case accusing China-bound engineer of stealing tech
- A federal judge in San Jose, California has granted a request by former engineer Chi Xu to throw out a case against him by Magic Leap
- The start-up accused Xu, who left the company in 2016, of stealing its technology to build his own mixed-reality glasses and launch Beijing-based Nreal
A federal judge in San Jose, California, on Wednesday granted a request by Chi Xu, who left Magic Leap in 2016, to throw out the case. She found that Magic Leap did not adequately allege that Xu exploited proprietary information to build his own mixed-reality glasses, which project digital objects onto the real world. But US District Judge Lucy Koh gave Magic Leap a chance to revise its complaint to address her concerns.
The case was filed last June amid growing tension between the US and China over complaints by American firms of intellectual property theft by Chinese companies.
Ex-Magic Leap employee launches Nreal mixed reality glasses
Magic Leap’s complaint “is devoid of any allegation as to what specific ‘confidential information’” the start-up believes Xu used to start his Beijing-based company Nreal or to create and promote its product called Nreal Light, Koh said.
The judge gave Magic Leap 30 days to amend its complaint that accuses breach of contract, fraud and unfair competition.
Nreal, Xu and Magic Leap did not immediately respond to requests for comment.
The case is Magic Leap Inc. v. Xu, 19-cv-03445, US District Court, Northern District of California (San Francisco).
(Alibaba is the parent company of the South China Morning Post.)
