SAN FRANCISCO: Apple on Friday (Jul 10) sued OpenAI, accusing the unreal intelligence firm of orchestrating a marketing campaign to steal the iPhone maker’s commerce secrets and techniques because it tries to develop its personal client {hardware} system.
The lawsuit – filed in a federal courtroom in San Jose, California – paints an image of an aggressive effort by OpenAI to poach Apple workers and extract confidential info to construct its personal system.
The lawsuit marks a dramatic escalation in tensions between two firms that partnered in 2024 to combine ChatGPT into Apple’s merchandise.
That relationship has since deteriorated. Bloomberg reported in Could that OpenAI was itself contemplating authorized motion in opposition to Apple, alleging the tech large had did not adequately promote the ChatGPT integration.
“At each stage, from members of its Technical Workers to its Chief {Hardware} Officer, and in coordination with enterprise companions, OpenAI has been stealing Apple’s commerce secrets and techniques and confidential info,” Apple stated within the 41-page criticism.
The swimsuit will considerably complicate OpenAI’s plans for a hotly anticipated initial public offering.
The corporate, valued at roughly US$852 billion, has raised greater than US$180 billion from buyers, and increasing into client {hardware} was seen as a serious alternative for development.
“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,” the corporate stated in a press release to AFP.
“We’ll all the time defend our groups’ arduous work and improvements, and we’re taking all applicable steps to take action.”
OpenAI responded to AFP’s request for remark with an emailed assertion Friday.
“We now have little interest in different firms’ commerce secrets and techniques. We stay targeted on constructing modern know-how that empowers folks all over the place,” an OpenAI spokesperson stated.
The swimsuit names OpenAI, its {hardware} subsidiary io Merchandise – the corporate co-founded by former Apple design chief Jony Ive – and two former Apple workers: Tang Yew Tan, now OpenAI’s chief {hardware} officer, and engineer Chang Liu.
Apple stated it was searching for damages and an injunction barring OpenAI from utilizing its confidential info, calling the lawsuit vital after OpenAI failed to answer issues the corporate raised in February.
“SHOW AND TELL”
Tan spent 24 years at Apple, most just lately as vp of product design for the iPhone and Apple Watch, earlier than co-founding io Merchandise, which OpenAI acquired for roughly US$6.5 billion in 2025.
Apple alleged that Tan used confidential undertaking code names throughout OpenAI job interviews to probe candidates about unreleased Apple merchandise. In response to the criticism, about 400 workers at OpenAI are former Apple staffers.
Tan additionally allegedly informed Apple workers to convey bodily parts, corresponding to batteries, circuit boards, and different elements, to interviews for “present and inform” classes.
Apple described its findings as “the tip of the iceberg”, saying it had restricted visibility into what was taking place behind OpenAI’s closed doorways.
“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,” the criticism stated.
