Apple Sues OpenAI Over Alleged Theft of Trade Secrets and Confidential Hardware Data

Apple filed a federal lawsuit last Friday accusing OpenAI of systematically stealing trade secrets and confidential hardware files. The complaint describes OpenAI's emerging hardware division as fundamentally "rotten" and built on stolen information. The suit also implicates io Products, a startup founded by former Apple designer Jony Ive and acquired by OpenAI last year, as a participant in the alleged misconduct.

Central to the lawsuit are two former Apple executives: Chang Liu, a senior electrical systems engineer, and Tang Yu Tan, a former Apple vice president now serving as OpenAI's chief hardware officer. Court documents allege Liu secretly downloaded dozens of confidential files containing technical specifications and data on unreleased projects. Meanwhile, Tan is accused of instructing Apple job candidates to bring "physical parts" of devices to interviews, conducting "show and tell" sessions aimed at extracting sensitive information.

Apple claims that over 400 former employees have moved to OpenAI and that OpenAI's interview process was deliberately designed to extract confidential data. Apple states it previously raised these concerns with OpenAI but received no response. In contrast, OpenAI's strategic communications director Drew Fustini tweeted that the company "has no interest in other companies' trade secrets." The lawsuit does not currently affect the existing collaboration between Apple and OpenAI involving the integration of ChatGPT into Apple's Intelligence system.