Apple Sues OpenAI for Trade Secret Theft, AI Firm Denies Interest in Confidential Data

Apple has filed a lawsuit against its partner OpenAI and two former employees, accusing them of systematically obtaining and using Apple's confidential data to advance their consumer hardware business.

The tech giant claims that former senior systems electrical engineer Chang Liu failed to return a company laptop and used an authentication loophole to access internal networks, downloading dozens of hardware-related confidential documents. Another former employee, Tang Yew Tan, who was a product design vice president for iPhone and Apple Watch, allegedly emailed himself confidential information about Apple's suppliers and internal industry briefings before resigning.

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We have no interest in other companies' trade secrets.

Apple alleges that Tan encouraged other Apple employees to showcase Apple components during job interviews at OpenAI, with one applicant reportedly admitting they "didn't even know we could take these things out of the office." The lawsuit states that Apple had previously expressed concerns to OpenAI about the flow of confidential data in February and requested a discussion, but received no response.

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Apple's view of OpenAI has gradually shifted from partner to potential competitor.

OpenAI, in response, stated that it is still reviewing the lawsuit but has "no interest in other companies' trade secrets" and remains focused on empowering innovation. The company, along with its commercial division and a subsidiary, are named as defendants.

Analysts suggest this legal battle is crucial for control over future AI devices, potentially bypassing traditional operating systems and apps. If OpenAI succeeds, it could diminish the importance of Apple's best-selling iPhone. The lawsuit comes shortly after OpenAI won a legal battle against Elon Musk.

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I didn't even know we could take these things out of the office.