Apple Files Lawsuit
Against OpenAI, Alleges Theft of Confidential Product
Secrets
The two companies struck a deal in 2024 to offer A.I. services on Apple devices,
but their partnership has soured.
Key Points
·
Apple filed a lawsuit against OpenAI in
the U.S. District Court for the Northern District of California.
·
Apple alleges
that OpenAI recruited Apple employees and encouraged them to share confidential information, prototypes, and device components
during interviews.
·
The lawsuit
names Tang Tan (OpenAI's
Chief Hardware Officer and former Apple executive) and Chang Liu (former Apple employee now at OpenAI) as defendants.
·
Apple claims
Chang Liu downloaded confidential Apple documents
using an Apple-owned laptop after joining OpenAI.
·
Apple alleges
OpenAI used Apple's trade secrets to approach manufacturing partners and learn about proprietary
metal-finishing techniques.
·
Apple says
it warned OpenAI in February 2026
about concerns that confidential information was being improperly obtained, but
OpenAI did not respond.
·
Apple argues
that OpenAI's hardware business is built on misappropriated trade secrets.
·
OpenAI denied the allegations,
stating it has no interest in competitors' trade secrets
and remains focused on developing its own technology.
·
The lawsuit
highlights the deterioration of the companies' relationship after their 2024 partnership, under which ChatGPT
was integrated into Apple devices.
·
Their relationship
worsened after Apple reportedly partnered with Google
for AI features such as Siri.
·
OpenAI has expanded into AI hardware after acquiring
IO, the design company founded by Jony Ive, for $6.5 billion.
·
Apple claims
that over 400 former Apple employees now work at OpenAI.
·
Apple seeks:
o An injunction preventing
OpenAI from using or sharing Apple's trade secrets.
o The return of all allegedly misappropriated
confidential information and intellectual property.
[ABS News Service/11.07.2026]
Apple accused OpenAI
on Friday of stealing secrets about products still in development, setting up a
legal face-off between two of the world’s biggest tech companies.
In a lawsuit filed in U.S. District
Court for the Northern District of California, the consumer tech giant said OpenAI, a leader in artificial intelligence that has a new hardware
business, had asked job candidates from Apple to share details about secret projects
and to bring device components and prototypes to their interviews.
Apple also accused an OpenAI employee of downloading internal documents from a laptop
owned by the iPhone maker. That employee and OpenAI’s
top hardware executive were named as defendants in the suit. Both used to work at
Apple.
OpenAI used the confidential information to approach Apple’s manufacturing
partners, including asking one partner to demonstrate Apple’s technique for finishing
metal on its devices, the lawsuit said.
Apple sent a letter to OpenAI in February to raise concerns that confidential information
could be “making its way to OpenAI’s business improperly,”
according to the suit. OpenAI did not respond, Apple said.
“OpenAI’s
nascent hardware business now rests on the shakiest of foundations, rotten to its
core by its illegal reliance on misappropriated trade secrets,” Apple wrote in its
lawsuit.
OpenAI pushed back against the accusations in a statement. “We have no
interest in other companies’ trade secrets,” a spokesman, Drew Pusateri, said. “We remain focused on building innovative technology
that empowers people everywhere.”
(The New York Times has sued OpenAI and Microsoft, claiming copyright
infringement of news content related to A.I. systems. The two companies have denied
those claims.)
Apple’s lawsuit against OpenAI sharply escalates tensions between the two tech titans,
whose high-profile partnership had already begun to unravel.
Apple remains largely on the sidelines of A.I., even as other technology giants spend hundreds
of billions of dollars building A.I. models and data centers
and as start-ups push the envelope on the technology.
To help catch up, Apple struck
a deal with OpenAI in 2024 to use the A.I. start-up’s technology to overhaul its products,
including its digital assistant, Siri. But OpenAI grew
disappointed by how Apple integrated ChatGPT, and has
even considered legal action. In January, Apple said it was teaming up with Google to power Siri
and its other A.I. products.
Adding to the tension, OpenAI, which has confidentially filed for an initial public
offering, is creating a new family of hardware products itself.
Sam Altman, OpenAI’s
chief executive, has long held ambitions to produce A.I.-powered devices. The nascent
technology can be worn like jewelry or placed in a pocket
— offering users features like audio and video recording, or responses to voice
commands.
Mr. Altman previously backed a now defunct start-up called
Humane, which built an A.I. device that users pinned
to their clothing.
Last year, OpenAI
paid $6.5 billion to buy
IO, which at the time was a one-year-old design studio founded by Jony Ive, Apple’s former longtime design head. During his 27 years at Apple, Mr. Ive developed Apple’s minimalist aesthetic and worked with the
company’s co-founder Steve Jobs to revolutionize the smartphone.
Before the acquisition, Mr. Altman
worked with Mr. Ive to develop wearable devices that could
run the start-up’s A.I. technology. The two men have previously declined to discuss
what such devices could look like or how they might work.
The deal brought Mr. Ive, who is not named in the lawsuit, and his team of roughly
55 engineers and researchers inside OpenAI. That group
included Tang Tan, a former Apple executive and IO co-founder. Mr. Tan had spent
24 years at Apple, leading design for the iPhone and Apple Watch before his departure.
He is now OpenAI’s chief hardware officer.
In its lawsuit on Friday, Apple accused
Mr. Tan of coaching his hires from Apple on how to evade Apple’s security processes
for departing employees.
Engineers and designers have steadily
departed Apple for OpenAI since it acquired IO. More than
400 former Apple employees now work for OpenAI, according
to the lawsuit.
Mr. Tan did not immediately respond
to a request for comment.
Apple accused another former employee,
Chang Liu, of using a former colleague’s Apple-owned laptop to gain access to and
download technical documents while working at OpenAI.
Mr. Liu told the Apple employee what information about unannounced products she
should study before job interviews, Apple said.
Mr. Liu also planned to get access
to internal documents through an Apple-owned laptop that he didn’t return when he
left the company, according to the lawsuit.
Mr. Liu did not immediately respond
to a request for comment.
OpenAI had misled the manufacturing company it approached to learn about
the metal finishing technique to believe it had Apple’s permission to view it, according
to the lawsuit.
Apple is seeking an injunction that
would prevent OpenAI from possessing, using or sharing
Apple’s trade secrets, as well as an order requiring OpenAI
to return Apple’s intellectual property.
Apple has previously sued former employees
turned rivals. In 2019, the company sued Gerard Williams III, its former chief chip
architect, for breaking his employment contract as he worked to create a chip start-up,
Nuvia. Apple dropped that lawsuit in 2023.