Apple Files Federal Suit Against OpenAI Alleging Systematic Trade Secret Theft

Apple has filed a lawsuit against OpenAI in federal court in Northern California, accusing the artificial intelligence company of stealing trade secrets to develop its own consumer hardware. The complaint alleges that OpenAI engaged in a coordinated scheme involving multiple levels of its organization, including its Technical Staff and Chief Hardware Officer, to misappropriate Apple’s confidential information.

The legal action represents a stark reversal in the relationship between the two companies, which had entered a high-profile partnership in 2024. That year, OpenAI’s ChatGPT was integrated into the iPhone operating system, with OpenAI CEO Sam Altman visiting Apple’s headquarters to announce the collaboration.

However, tensions escalated after OpenAI announced plans to enter the hardware market, notably acquiring former Apple designer Jony Ive’s startup, IO Products, for $6.4 billion in 2025. Since then, Apple has shifted its strategy, with its upcoming Siri assistant update relying on Google’s Gemini AI models rather than OpenAI’s technology.

Central to Apple’s allegations are former employees who have interviewed with or joined OpenAI. The suit specifically names Tang Tan, OpenAI’s Chief Hardware Officer and a former Apple vice president, accusing him of instructing Apple employees interviewing at OpenAI to disclose proprietary information. According to Apple, Tan directed candidates still employed at Apple to bring "actual parts" from Apple for "show and tell" sessions designed to extract confidential details.

Apple further alleges that OpenAI coached departing employees on how to circumvent Apple’s security protocols during their exit. Chang Liu, a former Apple employee now at OpenAI and named as a defendant, is accused of stealing an Apple laptop.

The complaint also claims that OpenAI has requested hardware partners to perform a metal finishing technique invented by Apple, allegedly misleading those partners into believing they had Apple’s authorization to use the process.

An Apple spokesperson told CNBC, "Recently, significant evidence has emerged suggesting individuals employed by OpenAI wrongfully took Apple's secret and confidential information regarding our unreleased technologies, processes, and products."

OpenAI responded with a statement asserting, "We have no interest in other companies' trade secrets. We remain focused on building innovative technology that empowers people everywhere."

While OpenAI has not publicly disclosed details about its hardware products, CEO Sam Altman indicated in November that the company had completed its first prototypes.

Apple has not commented on whether the lawsuit will impact its ongoing partnership with OpenAI, which continues to include the integration of ChatGPT into Apple Intelligence.

This lawsuit adds to a growing list of legal challenges facing OpenAI as it prepares for a highly anticipated initial public offering.