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Apple sues OpenAI, accuses ex-employees of stealing trade secrets
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Apple has filed a lawsuit against OpenAI, accusing the company of orchestrating a scheme to steal trade secrets through former Apple employees. The complaint, submitted today to the U.S. District Court for the Northern District of California, alleges that OpenAI benefited from misappropriated confidential information about Apple's unreleased technologies, processes, and products. The lawsuit specifically names two former Apple employees, Chang Liu and Tang Tan, alongside OpenAI and its hardware subsidiary io Products as defendants.
The legal action stems from Apple's concerns that its proprietary knowledge has been funneled to OpenAI, particularly for its nascent hardware business led by former Apple design chief Jony Ive. Ive, who co-founded io with Scott Cannon, Evans Hankey, and Tan, saw io acquired by OpenAI last year in a $6.5 billion deal, integrating over 50 engineers and designers. Tan, a former Apple vice president of product design, left in February 2024 to work with Ive, while Liu departed Apple in January 2026 after eight years to join OpenAI.
Apple's complaint details specific instances of alleged misconduct. It claims Tan used his knowledge of Apple's confidential projects during job interviews with Apple candidates to extract further secrets, even instructing candidates to bring actual Apple hardware components for "show and tell" sessions. One candidate reportedly expressed surprise, stating they "didn't even know we could take those from the office." The lawsuit asserts that this behavior represents "the tip of the iceberg," suggesting a broader pattern of trade secret theft.
Apple says it first raised concerns directly with OpenAI in February, requesting an investigation, but received no response. The company emphasized that it takes intellectual property protection seriously, with a spokesperson stating, "We will always defend our teams’ hard work and innovations." The lawsuit seeks to halt OpenAI's alleged misconduct and recover damages.
The implications of this case are significant for both companies. For Apple, it underscores its aggressive defense of intellectual property amid rising competition in AI and hardware. For OpenAI, the lawsuit threatens to tarnish its reputation and potentially disrupt its hardware ambitions, which rely heavily on talent and innovations from Apple. The case also highlights the broader tension between tech giants over employee mobility and trade secret protection.
Reactions from the tech industry have been mixed, with some experts noting the challenge of proving trade secret theft in court. OpenAI has yet to respond publicly to the filing, but the outcome could set a precedent for how companies handle confidential information in the age of AI. Observers will be watching closely as legal proceedings unfold, with potential ramifications for hiring practices and corporate secrecy.
Looking ahead, the lawsuit may delay OpenAI's hardware projects and strain its relationship with Ive's team. Apple's legal action signals a zero-tolerance policy toward IP theft, possibly prompting other firms to tighten security measures. The case is expected to proceed through discovery, which could reveal more about the alleged misconduct and shape future industry norms.
