OpenAI Hits Back at Apple in Trade Secret Dispute

OpenAI Hits Back at Apple, Says Trade Secret Dispute Is ‘Apple’s Own Making’

OpenAI has pushed back hard against Apple’s trade secret lawsuit, saying the iPhone maker has not shown that its confidential information was actually stolen by former employees.

In a court filing in San Jose, California, OpenAI described the dispute as “a mess of Apple’s own making” and accused Apple of trying to put the blame on everyone else.

Apple sued OpenAI in July along with former employees Tang Tan and Chang Liu. The company alleges that confidential information linked to hardware design, manufacturing and supply-chain operations was misappropriated as OpenAI works on its own consumer devices.

OpenAI has denied the allegations.

The company says Apple has not established that any of its trade secrets were taken. It also argues that the lawsuit is being used to slow down a potential competitor and discourage Apple employees from moving to OpenAI.

That employee movement is a major part of the dispute. OpenAI says about 400 former Apple employees are now working on its hardware efforts.

OpenAI questions Apple's handling of employee data

OpenAI has also turned attention to Apple's own systems and the way employees leave the company.

In its filing, OpenAI pointed to Apple's use of personal iCloud accounts for work documents. It argues that this can leave former employees with access to company files even after they have left.

The company also questioned Apple's practice of escorting employees out of its offices when they leave, saying there may not be enough time to return devices, move files, or complete a proper handover.

Chang Liu has given a similar explanation for his access to some Apple documents after leaving the company. According to OpenAI's filing, former Apple colleagues contacted Liu for help finding files and answering questions about work he had previously handled.

OpenAI says that does not amount to stealing Apple's trade secrets.

Apple has presented a different version

Apple has continued to press its allegations and recently submitted additional evidence in the case.

The company claims a forensic examination of a MacBook used by Liu found that he had accessed a confidential Apple circuit schematic after leaving the company and later used the information in work at OpenAI. Apple has also alleged that the information was used with an AI agent.

Those allegations have not been established by a court, and OpenAI disputes Apple's broader claims.

The case is becoming particularly significant because OpenAI is moving deeper into hardware. The company has recruited a large number of former Apple employees and is working on consumer devices, putting the two companies in a more direct competitive position.

The relationship between the companies was very different when Apple announced its partnership with OpenAI in 2024 to bring ChatGPT into Apple Intelligence.

Now, the two companies are facing each other in court.

For OpenAI, the immediate goal is to convince the court that Apple's lawsuit does not establish a valid trade-secret claim. Apple, meanwhile, is seeking to examine the evidence and pursue its allegations against OpenAI and the former employees.

The next stages of the case could reveal more about what information the former Apple employees accessed, what they did with it, and whether any of it made its way into OpenAI's hardware work.