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Apple sues OpenAI for trade secret theft in AI hardware race
๐Ÿ‡จ๐Ÿ‡ญ Switzerland /Technology

Apple sues OpenAI for trade secret theft in AI hardware race

From Neue Zรผrcher Zeitung · () German

Translated from German, summarized and contextualized by DistantNews.

At a glance

News Named sources New plan
  • Apple has sued OpenAI, accusing it of stealing trade secrets and poaching employees.
  • Apple alleges OpenAI hired former Apple engineers and encouraged them to steal confidential product data.
  • OpenAI denies the allegations, stating it focuses on creating innovative technologies.

The tech world is bracing for a major confrontation as Apple has filed a lawsuit against AI pioneer OpenAI, accusing the company of illegally acquiring trade secrets and poaching key personnel. Apple alleges that OpenAI has systematically hired former Apple engineers and encouraged them to steal confidential data about new products to gain an unfair advantage in the race for AI-enabled hardware.

The iPhone maker is seeking a jury trial and demands that OpenAI cease its alleged theft, destroy relevant documents, and redesign its products to remove any reliance on illegally obtained Apple intellectual property. The lawsuit names the Open AI Foundation, its for-profit subsidiary Open AI Group, design studio io Products, and two former Apple engineers now working at OpenAI, including Tang Tan, who is now OpenAI's head of hardware.

According to the 41-page complaint, Apple claims that OpenAI has hired over 400 of its employees. These individuals were allegedly instructed by OpenAI not to disclose their new employer to Apple, allowing them to access Apple's trade secrets during their notice periods before joining OpenAI. Apple asserts that OpenAI's burgeoning hardware business is built on a foundation of "illegally obtained trade secrets."

However, OpenAI has pushed back against the accusations. In statements to American media, the AI company asserted that it has "no interest in the trade secrets of other companies." OpenAI maintains its focus is on developing innovative technologies that create new opportunities for people worldwide. The lawsuit highlights the intense competition and high stakes in the rapidly evolving field of artificial intelligence.

no interest in the trade secrets of other companies

โ€” OpenAIResponding to Apple's allegations of trade secret theft.
DistantNews Editorial

Originally published by Neue Zรผrcher Zeitung in German. Translated, summarized, and contextualized by our editorial team with added local perspective. Read our editorial standards.