OpenAI has issued a formal response to the lawsuit filed by Apple earlier today, vehemently denying accusations of trade secret misappropriation. The lawsuit, which names former Apple employees Chang Liu and Tang Tan, as well as OpenAI and its hardware partner io Products, alleges a coordinated effort to steal confidential hardware information from Apple to advance OpenAI's nascent consumer hardware initiatives.
In a statement posted on social media, OpenAI's Director of Strategic Communications, Drew Pusateri, wrote: "We have no interest in other companies' trade secrets. We remain focused on building innovative technology that empowers people everywhere." This marks the company's first public comment on the matter since the lawsuit was unsealed.
Background of the Lawsuit
Apple's complaint, filed in the U.S. District Court for the Northern District of California, details what it describes as "a pattern of theft of Apple's trade secrets by OpenAI employees who were formerly at Apple." The tech giant alleges that Chang Liu, a former engineer who worked on Apple's hardware design and manufacturing processes, and Tang Tan, a former senior director of hardware engineering who left Apple in 2025, deliberately accessed Apple's confidential systems and files without authorization before joining OpenAI.
According to the filing, Liu and Tan are accused of stealing proprietary information related to Apple's unreleased products, manufacturing techniques, and supplier relationships. Apple further claims that the defendants encouraged job candidates to bring Apple prototypes and components to interviews, disclose details about unreleased products and processes, and help OpenAI approach Apple suppliers using stolen data.
The lawsuit also names io Products, a hardware startup co-founded by former Apple design chief Jony Ive and OpenAI CEO Sam Altman, as a beneficiary of the alleged misconduct. Apple asserts that the stolen information directly aided io Products' development of a new consumer device, reportedly an AI-powered wearable.
OpenAI's Relationship with io Products
OpenAI's partnership with io Products, first announced in late 2024, has been shrouded in secrecy but is widely believed to involve the creation of a new category of hardware that leverages OpenAI's advanced artificial intelligence models. Jony Ive, who left Apple in 2019 to form LoveFrom, later co-founded io Products to explore AI-driven hardware. The collaboration has drawn intense interest from the tech community, as it represents a rare alliance between a leading AI research organization and a legendary industrial designer.
However, this is not the first legal challenge involving OpenAI and io Products. In early 2025, hardware startup iyO filed a lawsuit accusing OpenAI and io Products of trademark infringement over the use of the "iO" branding. That case was amended in March 2026 to include allegations of trade secret misappropriation, with iyO claiming that a former engineer downloaded confidential files and provided them to Tang Tan. OpenAI has consistently denied those allegations as well.
Details of Apple's Allegations
Apple's 50-page complaint paints a detailed picture of what it calls a systematic effort to pilfer its intellectual property. The company alleges that Chang Liu, who worked on Apple's supply chain and manufacturing operations, downloaded thousands of sensitive documents onto personal devices before leaving the company in early 2026. These documents allegedly included schematics for future iPhones, MacBooks, and Apple Watch models, as well as detailed information about Apple's custom chip manufacturing processes.
Similarly, Tang Tan is accused of sharing Apple's internal roadmaps and supplier contracts with OpenAI executives during his transition period. Apple claims that Tan participated in meetings where he openly discussed Apple's proprietary manufacturing techniques and encouraged OpenAI employees to recruit Apple engineers by offering them access to Apple's confidential technologies.
The lawsuit also alleges that OpenAI provided financial incentives to Apple employees who brought prototypes and design documents to job interviews. One unnamed candidate reportedly presented a fully functional prototype of a next-generation Apple device during an interview at OpenAI's San Francisco headquarters, according to the complaint.
Legal Implications and Industry Reaction
Legal experts say the case could have far-reaching implications for the technology industry, particularly as companies compete for top talent and intellectual property in the highly secretive hardware sector. Trade secret misappropriation cases are notoriously difficult to prove, but Apple has a history of aggressive litigation to protect its intellectual property. In 2018, the company settled a similar case with a former employee who admitted to stealing trade secrets related to its autonomous vehicle project.
Apple's complaint seeks unspecified damages and an injunction preventing OpenAI and io Products from using any of the allegedly stolen information. The company is also asking the court to order the return of all confidential materials and to impose penalties for what it calls "willful and malicious" conduct.
OpenAI, for its part, has retained a high-profile legal team and is expected to file a motion to dismiss, arguing that the allegations are based on circumstantial evidence and that the company has robust compliance measures in place to prevent such misconduct. In his statement, Pusateri emphasized that OpenAI conducts all business dealings with integrity and respects intellectual property rights.
The Growing Competition in Consumer Hardware
The lawsuit highlights the intensifying competition in the consumer hardware market, especially around AI-powered devices. Apple, with its dominant ecosystem of iPhones, iPad, Macs, and wearables, faces increasing pressure from companies like OpenAI, which aim to integrate advanced AI into new form factors. The potential for a device created by Jony Ive and powered by OpenAI's GPT models has generated significant buzz, but it also places the venture directly in Apple's crosshairs.
Industry analysts note that the legal battle could delay io Products' launch timeline and tarnish its reputation. However, OpenAI's deep pockets and aggressive hiring strategy suggest it is prepared for a protracted legal fight. The outcome of this case may set precedents for how trade secrets are protected in the era of rapid AI and hardware convergence.
As the case unfolds, all eyes will be on the evidence Apple presents and whether OpenAI can convincingly demonstrate that it has not benefited from any stolen information. For now, both sides have dug in, and the tech world waits for the next move.
Source:9to5Mac News
