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Home » AI News » Apple sues OpenAI over alleged trade secret theft
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AI News

Apple sues OpenAI over alleged trade secret theft

CryptoAINewsBy CryptoAINewsJuly 10, 2026No Comments5 Mins Read
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Apple filed a lawsuit Friday towards OpenAI over allegations of commerce secret theft and breach of contract.

The iPhone maker alleges that this misconduct, which it says reveals a sample of theft from OpenAI staff who beforehand labored at Apple, was directed by OpenAI’s senior management, together with Chief Hardware Officer Tang Tan.

The lawsuit, which was filed within the U.S. District Court docket for the Northern District of California, accuses Tan of utilizing Apple’s confidential mission code names throughout OpenAI’s recruiting course of, asking job candidates to usher in Apple {hardware} elements to their interviews, teaching departing Apple staff on the right way to evade the corporate’s safety procedures, and asking for particulars in regards to the firm’s unannounced merchandise.

Earlier than becoming a member of OpenAI, Tan had spent 24 years at Apple, most lately as VP of product design for the iPhone and Apple Watch.

The accusations come at a time when OpenAI is rumored to be growing its first hardware product, which might doubtless compete with the iPhone. In April, business analyst Ming-Chi Kuo suggested this device could be a smartphone that will depend on AI brokers as an alternative of apps. If true, it will be one of many largest threats to Apple’s core {hardware} enterprise up to now.

Apple’s former lead designer Jony Ive’s machine startup io was acquired by OpenAI last year in a $6.5 billion deal to help the AI firm with its {hardware} ambitions. Whereas io was named within the submitting, Ive was not.

Tan will not be the one OpenAI worker referenced within the new criticism. Apple additionally alleges that Chang Liu, who spent eight years at Apple as a senior methods electrical engineer, didn’t return an Apple-issued laptop computer after leaving the corporate for OpenAI in 2026 and had used the pc to obtain confidential Apple technical paperwork.

Apple says within the complaint that the stolen paperwork included details about unannounced applied sciences, options, and merchandise, together with technical specs, engineering shows, and proprietary mission information.

Liu can be accused within the lawsuit of sharing Apple’s confidential info with different Apple staff making use of for jobs at OpenAI, advising no less than one in every of them on what to check earlier than their interview.

Apple despatched a letter to OpenAI in February to lift its considerations, and acquired no response, the corporate mentioned within the criticism.

It alleges that the conduct of those former staff is a part of OpenAI’s technique to extract Apple’s confidential info, which included asking Apple staff to carry designs and prototypes to their interviews, and reply questions on issues like element and vendor choice processes.

Apple says its ongoing investigation revealed that OpenAI and its companions have even used Apple’s confidential info whereas the AI mannequin maker develops its personal {hardware} product. For example, the submitting references a proprietary steel ending method that was utilized by OpenAI after it allegedly misled a accomplice into believing it had Apple’s permission to take action.

Like many tech corporations, Apple sometimes investigates potential commerce secret theft or different improper exercise by analyzing communications that occurred on company-owned gadgets and studying via its server logs. By taking the case to court docket, Apple may have a chance to study extra in regards to the extent of the alleged operation via the authorized discovery course of.

Apple is asking the court docket to bar OpenAI from utilizing or disclosing its commerce secrets and techniques, require the corporate to return any confidential Apple supplies, and protect proof associated to the case.

“That is the tip of the iceberg. Apple lacks visibility into what’s been occurring behind closed doorways at OpenAI, the place such misconduct is normalized and exemplified by management,” the submitting states. “As a pure end result, OpenAI’s nascent {hardware} enterprise now rests on the shakiest of foundations, rotten to its core by its unlawful reliance on misappropriated commerce secrets and techniques.”

In a ready assertion, Apple additionally mentioned the next:

“At Apple, our groups are always growing breakthrough applied sciences to create the perfect services on the planet, and defending their work and mental property is one thing we take very significantly. Lately, vital proof has emerged suggesting people employed by OpenAI wrongfully took Apple’s secret and confidential info relating to our unreleased applied sciences, processes, and merchandise. We’ll at all times defend our groups’ exhausting work and improvements, and we’re taking all acceptable steps to take action.”

OpenAI was requested for remark.

The submitting is on the market here, or you’ll be able to learn it beneath.

This story is growing and shall be up to date, and initially revealed at 1:32pm PT.

Whenever you buy via hyperlinks in our articles, we may earn a small commission. This doesn’t have an effect on our editorial independence.



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