Caixin
Caixin Global – Latest China News & Headlines

Home >

ABOUT US

CX Tech is Caixin Global's real-time tech news portal, featuring 24-hour news, short-form analysis, and roundups from business and tech media in China.

LATEST
Pompeo Hints At ‘Broader’ Ban on Chinese Apps After Trump’s Executive Orders Targeting TikTok and WeChat
Trending in China: Merchants and Netizens Forced to Pick Sides in Fight Between Delivery Firms
Baidu-Backed Video Streamer iQiyi Probed by U.S. Regulator After Short Seller’s Report
AI Unicorn SenseTime Is Said to Mull Hong Kong, China IPO
Huawei Copies Korean Rivals by Manufacturing Own Display Driver Integrated Chips
JOYY’s Livestreaming Revenue Up 40% in Second Quarter of 2020
Trending in China: ‘Mukbangs’ Under Fire in China Amid High Level Food Waste Campaign
Trending in China: How Will the Chinese Diaspora Survive a WeChat Ban In U.S.?
Online Platform JD.com Buys into Bricks and Mortar Convenience Store Chain
China Unicom Profits Rise in First Half, Stock Soars
ByteDance in Talks with Indian Conglomerate Over TikTok Amid Layoff Fears
Alibaba’s Zhang Yong Tops 2020 Forbes China Best CEOs List
Trending: Family Feud Raises Big Questions Over Succession in China’s Multi-Million “Family” Businesses
Shanghai-Listed Foxconn Internet’s Cloud Service Sales Up 4% in First Half of 2020
U.S.-Listed Chinese Companies Nio and Huya Have Something to Cheer About
Apple Edges Huawei Out of No. 1 in Quarterly Tablet Shipments
Chinese Finance Platform Lufax Files for U.S. IPO of up to $3 Billion
China Mainland Leads U.S. in Fortune Global 500 Companies But Trails in Profitability
Trending in China: Tencent – Fighting Youth Unemployment or Enemy of Older Workers?
Tencent Pushes for Merger That Would Create $10 Billion Chinese Twitch
Online Educator VIPKid Sues Rival GSX for Trade Secret Theft

By Ding Yi / Apr 17, 2020 03:13 PM / Business & Tech

Online tutoring highflyer VIPKid is teaching one of its rivals a lesson in intellectual property rights.

The company is suing GSX Techedu for allegedly stealing its trade secrets, government-backed news portal China.com.cn reported Wednesday.

VIPKid has also sued the two GSX employees involved in the scheme, accusing them of using customer information they obtained while working for VIPKid to promote sales at their current employer, thereby violating non-disclosure agreements signed during their time at VIPKid, according to the report.

The case has been accepted by a district court in Beijing and has VIPKid seeking 8 million yuan ($1.13 million) in damages. China.com.cn described the case as the first concerning the theft of trade secrets in China’s lucrative but also highly competitive online education industry, which has gotten a boost as many people turn to online learning during the Covid-19 outbreak.

The case comes at an already bad time for the New York-listed GSX, after an American short seller claimed the company inflated revenue by 70% and urged U.S. regulators to suspend its stock. GSX has denied the allegations.

In December, GSX was also named and shamed by a Chinese regulator for using its app to illegally gather user information such as personal ID card numbers and bank account details.

Contact reporter Ding Yi (yiding@caixin.com)

Related: VIPKid’s New Education Brand Dami Wangxiao Closes $80 Million Series A Funding

Share this article
Open WeChat and scan the QR code