Apple adds evidence of theft to trade secrets suit against OpenAI

Apple has introduced new evidence in its ongoing trade secrets lawsuit against OpenAI, alleging that a MacBook used by a former employee proves the theft of proprietary files. The tech giant claims the misappropriated data was used to accelerate OpenAI's hardware development.

According to court filings, Apple alleges that former senior system electrical engineer Chang Liu downloaded dozens of confidential files from Apple's cloud storage after joining OpenAI. Among these files was a circuit schematic that Apple claims Liu used to run simulations for his new employer. Apple further alleges that Liu utilized proprietary internal engineering tools and software packages at OpenAI that bore names identical to Apple's own tools. The company also claims Liu attempted to erase forensic evidence by instructing a coworker to "restore" Apple-issued devices.

A systemic misappropriation

This latest evidence expands a broader legal battle in which Apple describes OpenAI's nascent hardware business as "rotten to its core" due to an illegal reliance on misappropriated trade secrets. The lawsuit names several high-profile defendants, including Tang Yew Tan, a former Apple VP and current OpenAI Chief Hardware Officer, and io Products, the startup founded by Jony Ive and acquired by OpenAI for $6.5 billion.

Apple's allegations extend beyond Liu. The company has expanded the scope of the suit to include 11 other former employees suspected of sharing trade secrets. In one instance, Apple alleges an individual took screenshots of confidential documents immediately prior to an interview with OpenAI. Additionally, the suit claims Tang Yew Tan directed Apple employees to bring "actual parts" to interviews for "show and tell" sessions specifically to elicit confidential information.

The hardware clash

The conflict centers on OpenAI's ambitions to enter the hardware market, which reportedly includes the development of an AI-enabled smart speaker in collaboration with Jony Ive. While Apple and OpenAI maintain a separate partnership to integrate ChatGPT into iOS via "Apple Intelligence," Apple asserts that this collaboration does not excuse the alleged theft of hardware intellectual property.

OpenAI has pushed back against the charges, describing them as "careless, aggressive and oddly personal." Drew Pusateri, OpenAI's Director of Strategic Communications, stated, "We have no interest in other companies' trade secrets." OpenAI argues that any residual access to files was the result of Apple's own failure to properly manage system access for departing employees.

Industry implications

This case represents a high-stakes clash over the boundaries of employee mobility and intellectual property between two of the world's most influential tech firms. If Apple successfully obtains a preliminary injunction, it could effectively freeze the development of OpenAI's hardware ambitions.

Legal observers note that the outcome will likely set a critical precedent for how "residual access" to cloud data is treated in trade secret litigation, particularly when high-level engineering talent moves between direct competitors in the AI and hardware sectors.