Brazil Police Probe Alleged Trade Secret Theft at Food Delivery Giant iFood

Brazilian police have executed a search-and-seizure warrant against a former employee of food-delivery market leader iFood, confiscating electronic devices as part of an investigation into alleged corporate espionage. The probe centers on suspicions that the ex-employee downloaded confidential commercial information before moving to competitor 99Food.

The Police Operation

The operation, which took place on Wednesday, targeted a former strategic sales executive at iFood, according to Angelo Lages, the police inspector leading the investigation in Rio de Janeiro. Lages told Reuters the individual had access to sensitive data, including client sales volumes and profiles.

"The purpose of the search was to collect electronic devices so we can conduct forensic analysis and determine what happened to the data," Lages stated. The investigation was initiated after iFood filed a complaint alleging the theft of strategic and confidential information. According to the inspector, an internal review at iFood identified downloads of key files shortly before the employee resigned in 2025 to join 99Food.

A Competitive Battleground

The allegations highlight the intensifying competition in Brazil's food delivery industry, a market that processed approximately $20 billion in orders last year, according to industry group Abrasel. iFood, owned by Dutch investment firm Prosus, holds a dominant 80% market share but faces growing pressure from new entrants backed by Chinese technology giants.

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These rivals include 99Food, controlled by ride-hailing company DiDi Global, and Keeta, owned by Meituan. In a statement, 99Food said it does not tolerate the use of illegally obtained data and confirmed the individual targeted by the police is not currently part of its workforce. The former employee reportedly told investigators he is now working as an independent consultant.

Wider Antitrust Disputes

This corporate espionage probe is unfolding amid broader legal and regulatory disputes within the sector. The companies are also engaged in multiple cases before Brazil's antitrust regulator, Cade.

• Keeta has accused 99Food of using anti-competitive exclusivity clauses with restaurants.
• iFood has separately asked Cade to investigate the expansion strategies of both 99Food and Keeta, alleging they use heavy subsidies and operate at a loss to aggressively gain market share.