Apple sues OpenAI, alleging systematic theft of hardware secrets

Apple is suing OpenAI, its hardware chief Tang Tan, and former Apple engineer Chang Liu, accusing the trio of orchestrating a scheme to steal Apple's trade secrets for OpenAI's own hardware development.

According to Apple, OpenAI encouraged Apple employees to share information, parts, and design drawings of unreleased products during interviews. Prospective hires were even coached to hide their destinations, preventing Apple from revoking internal access early.

Liu joined OpenAI in January. Apple claims he downloaded dozens of confidential files before leaving, including unreleased product specs and project data.

Tan previously led design for the iPhone, Apple Watch, and AirPods. After leaving Apple, he co-founded hardware company io Products, which OpenAI acquired last year for $6.5 billion.

Apple is demanding that OpenAI stop using and destroy any related materials, and redesign unreleased products that may rely on Apple's technology.

OpenAI responded that it has "no interest" in other companies' trade secrets and will continue focusing on innovation that benefits users worldwide.

The two companies had been partners, integrating ChatGPT into Siri and Apple Intelligence. Now that OpenAI is building its own hardware, they've gone from collaborators to litigants.