Apple sued OpenAI in federal court in San Jose on Friday, accusing the AI company, its hardware chief Tang Tan, and others of using departing Apple workers to obtain confidential hardware information for OpenAI’s consumer device effort.
The complaint says Tan, a 24-year Apple veteran who oversaw iPhone product design before joining OpenAI, encouraged Apple employees who were leaving or considering leaving to bring proprietary material with them. Apple alleges that included unreleased components, prototypes, design files, supplier information, and internal documents tied to projects the company had not announced.
OpenAI denied the allegation. “We have no interest in other companies' trade secrets,” OpenAI spokesperson Drew Pusateri said. “We remain focused on building innovative technology that empowers people everywhere.”
Apple spokesperson Hannah Smith said the company “will always defend our teams' hard work and innovations, and we are taking all appropriate steps to do so.” Tan did not immediately respond to a request for comment, according to WIRED.
The lawsuit also names io Products, the hardware startup OpenAI bought last year for $6.5 billion, and Chang Liu, an OpenAI electrical engineer who worked at Apple until January. io Products was cofounded by former Apple executives including Tan, Scott Cannon, Evans Hankey, and Jony Ive. Apple says OpenAI has hired more than 400 former Apple employees, including people now leading its device work.
Apple’s central claim is not subtle: it says OpenAI wanted to speed up its first commercial hardware product by taking Apple’s work instead of building comparable processes on its own. The complaint alleges that Tan and OpenAI recruiters coached job candidates on avoiding Apple security checks and, in some cases, asked candidates to bring physical Apple components to interviews for “show and tell” sessions. Apple lists batteries, logic boards, and shields among the parts allegedly sought.
One part of Apple’s case focuses on Liu. The company says it noticed a problem early this year after Liu failed to return an Apple-issued laptop and told a former colleague he still had access to Apple’s internal file-sharing system. Apple says that access was caused by a bug that has since been fixed.
According to the complaint, Liu downloaded dozens of confidential hardware files, including material about manufacturing and testing complex circuit boards used in Apple devices. Apple also alleges Liu advised an Apple employee he was recruiting for OpenAI on how to avoid trouble with Apple’s security team while copying files.
Apple says it wrote to OpenAI in February about its concerns and did not receive a response. The company says its investigation relied on data and messages from employee devices.
The complaint also accuses Tan of taking an internal Apple document describing departure security procedures for managers. Apple alleges Tan and OpenAI recruiters used that information to tell departing Apple workers to avoid naming their new employer, keep access to Apple systems for longer, and avoid signing exit paperwork.
Apple further claims OpenAI’s io unit contacted at least two Apple suppliers. In one alleged episode, a supplier performed a metal-finishing technique for OpenAI after being led to believe Apple had approved the work. In another, Apple says OpenAI asked a battery supplier targeted questions about Apple components.
The case lands despite a recent commercial relationship between the companies. Apple and OpenAI announced a 2024 deal to bring ChatGPT to iPhones, Macs, and iPads. Bloomberg has reported that the relationship later frayed as Apple leaned more on Google’s Gemini technology for its own AI models.
OpenAI has said little publicly about its hardware plans beyond describing a family of AI-powered devices. In court filings, the company has said it will not ship devices to customers before at least April 2027.
Apple is asking the court for an injunction blocking the alleged conduct, monetary damages, and the return of any Apple property or data it says was taken.
This story draws on original reporting from WIRED.
