- Apple filed a lawsuit against OpenAI and two former employees on Friday, alleging misappropriation of its trade secrets as OpenAI seeks to build its own hardware for ChatGPT.
- The complaint, filed in the US District Court for the Northern District of California, alleges a coordinated effort to steal Apple's confidential information, including product designs, manufacturing processes, and supply chain strategies.
- Apple claimed it wrote to OpenAI in February with concerns that its confidential information was making its way to OpenAI, but received no reply.
- Apple alleged that Chang Liu, one of the former employees, failed to return a company-issued work laptop and used an authentication bug to access Apple's internal network, downloading dozens of confidential hardware-related files.
- The lawsuit claims that OpenAI's hardware chief, Tang Yew Tan, encouraged interviewees to bring 'actual parts' from Apple for 'show and tell' during their interviews.
- Apple has accused OpenAI of gaining access to valuable inside information through the hiring of its former employees, alleging a pattern of theft.
- The company is seeking damages and a court order to block OpenAI from possessing or using its trade secrets.
- Apple's lawsuit highlights a significant concern regarding the exploitation of its confidential information to advance OpenAI's efforts in the consumer hardware market.
Apple has filed a lawsuit against OpenAI and two former employees, alleging misappropriation of trade secrets as the AI company seeks to build its own hardware for ChatGPT. The complaint, lodged in California, claims a coordinated effort to steal Apple's confidential information, including product designs and manufacturing processes.12

Apple alleges that former employees Chang Liu and Tang Yew Tan played key roles in this scheme. Liu is accused of failing to return a company laptop and using an authentication bug to access Apple's internal network, downloading dozens of confidential hardware-related files. Tan, OpenAI's hardware chief, allegedly encouraged job candidates to bring Apple parts to interviews for 'show and tell' sessions, further exploiting Apple's confidential information.45
The lawsuit claims that OpenAI's hardware ambitions are built on a foundation of misappropriated trade secrets. An Apple spokesperson stated, “significant evidence has emerged suggesting individuals employed by OpenAI wrongfully took Apple’s secret and confidential information”. Apple is seeking damages and a court order to prevent OpenAI from using its trade secrets.7

The complaint also highlights that Apple reached out to OpenAI in February with concerns about its confidential information but received no response. With over 400 former Apple employees now at OpenAI, Apple argues that it is not surprising some possess knowledge of its confidential information. The lawsuit marks a significant rupture in the relationship between the iPhone maker and the AI giant, as OpenAI aims to expand into consumer hardware.3
“Apple's lawsuit alleges a coordinated effort by OpenAI to steal its confidential information, including product designs and supply chain strategies. The company is seeking damages and a court order to prevent OpenAI from using its trade secrets, highlighting concerns over the hiring of former Apple employees.”