Apple Sues OpenAI for Trade Secret Theft, Alleging Misconduct 'at Every Level

Apple has filed a sweeping lawsuit against OpenAI, alleging a coordinated scheme to steal trade secrets through targeted recruiting and unauthorized system access — marking a dramatic rupture in one of Silicon Valley's most prominent AI partnerships.

Apple filed a bombshell lawsuit against OpenAI on Friday, accusing the AI company of orchestrating a systematic scheme to steal trade secrets at every level of the organization.

The complaint, filed in federal court, alleges that former Apple engineer Chang Liu failed to return his company laptop after joining OpenAI in January and continued accessing Apple's internal systems from his new role. Rather than reporting the security vulnerability, Liu allegedly downloaded dozens of confidential engineering files related to unreleased products and technical specifications Business Insider.

Apple also claims Liu coached another Apple engineer during her OpenAI interview process, advising her to study confidential Apple materials beforehand and how to avoid detection while doing so.

The lawsuit goes further, accusing OpenAI of weaponizing its recruitment pipeline. Chief Hardware Officer Tang Tan — a 24-year Apple veteran — allegedly asked job candidates to bring physical Apple components to interviews for "show and tell" sessions. One candidate screenshotted files from a "highly confidential Apple project," and the complaint says Tan specifically asked about that project during the interview MacRumors.

Apple says it raised concerns with OpenAI earlier this year and asked the company to investigate whether confidential information had entered its business. OpenAI never responded, prompting Apple to escalate to litigation.

"This is the tip of the iceberg," the complaint reads. "At every level, from members of its Technical Staff to its Chief Hardware Officer, and in coordination with business partners, OpenAI has been stealing Apple's trade secrets."

In a statement, an OpenAI spokesperson said the company has "no interest in other companies' trade secrets" and remains "focused on building innovative technology that empowers people everywhere."

The lawsuit marks a dramatic escalation in what had been one of Silicon Valley's most prominent AI partnerships, following Apple's 2024 integration of ChatGPT into Apple Intelligence. Apple is seeking damages to be determined at trial and court orders preventing OpenAI and the individual defendants from possessing or using its trade secrets.

Sources: Business Insider, MacRumors