Apple has filed a federal lawsuit against OpenAI, accusing the AI company of obtaining confidential information related to Apple’s product development through the hiring of former employees.
The lawsuit claims OpenAI engaged in a “pattern of theft” by allegedly accessing sensitive Apple information, including details about unreleased products, proprietary manufacturing processes, internal projects, and partner relationships.
Apple has named OpenAI, design startup io Products, and two former Apple executives as defendants. The individuals include Chang Liu, a former Apple senior electrical engineer who joined OpenAI, and Tang Yew Tan, Apple’s former vice president of design for iPhone and Apple Watch, who is now OpenAI’s chief hardware officer following OpenAI’s acquisition of io Products.
According to Apple, some former employees allegedly transferred internal company information before leaving the organisation. The company also claims that OpenAI attempted to extract confidential details during recruitment discussions with current Apple employees.
Apple alleges that the actions were part of a broader effort by OpenAI to accelerate its entry into the consumer hardware market by leveraging Apple’s proprietary knowledge.
OpenAI has denied the allegations, stating that it has “no interest in other companies’ trade secrets” and that it is reviewing Apple’s complaint. The company said it remains focused on developing technology that benefits users globally.
The legal action marks a significant change in the relationship between the two technology giants. Apple had previously partnered with OpenAI to integrate ChatGPT into Apple devices as part of its artificial intelligence strategy. However, the company has since expanded its AI efforts, including greater reliance on Google’s Gemini models and tools.
The lawsuit comes as OpenAI prepares to expand further into hardware, following its acquisition of io Products, the startup founded by former Apple design chief Jony Ive. Apple claims OpenAI’s hardware ambitions are built on the improper use of confidential information and is seeking court action to prevent the company from using any alleged trade secrets, along with unspecified damages.
OpenAI is expected to defend the claims as the case moves forward, potentially setting up a major legal battle over intellectual property, talent movement, and competition in the rapidly evolving AI hardware market.
Discussion about this post