apple, OpenAI developed its artificial intelligence hardware with trade secrets belonging to Apple He brought the company to federal court. The lawsuit, dated July 10, 2026, covers OpenAI as well as io Products and former Apple employees Tang Yew Tan and Chang Liu. Apple argues that the defendants used confidential information about the iPhone, Apple Watch, manufacturing processes and suppliers. OpenAI, on the other hand, says that it does not need the trade secrets of rival companies and that it develops its products with its own work.
At the heart of the case is OpenAI’s collaboration with Jony Ive. artificial intelligence devices is available. According to Apple, OpenAI sought to gather the company’s product development knowledge in a coordinated manner to accelerate its work in consumer electronics. However, the lawsuit does not portray the events as merely the personal initiative of a few former employees. Apple claims that OpenAI fosters a comprehensive transfer of knowledge, ranging from manufacturing techniques to supplier relationships.
Tang Yew Tan, who worked at Apple for 24 years, was involved in the development of many products, including the iPhone and Apple Watch. Tan later joined the io Products team founded by Jony Ive and was among the founders of the company. After OpenAI acquired the io team in July 2025, it gave Tan the role of chief hardware officer. So the case centers on the question of whether product knowledge that Apple has developed over many years has been carried over into OpenAI’s device work.
Apple alleges that Tan asked some job candidates to bring company parts and confidential project information with them. Additionally, the company argues that Tan tried to collect information on suppliers, production methods and products that had not yet been announced. On the other hand, the petition states that these requests are intended to advance OpenAI’s hardware work faster. The court has not yet ruled on Apple’s claims.
Apple argues former employees moved confidential files to OpenAI
Chang Liu, the second former employee in the case, worked as an electrical engineer at Apple for eight years. Liu joined OpenAI’s hardware team after leaving Apple in January 2026. Apple alleges that Liu retained the company computer after his departure and continued to access confidential engineering files. In addition, the company claims that Liu accessed unauthorized data by exploiting a security vulnerability in Apple’s network.
According to Apple, Liu not only kept files he had worked on in the past, but also collected sensitive documents belonging to different engineering departments. The company states that these documents contain information about product design, electrical engineering and manufacturing processes. However, the case file does not detail which Apple information OpenAI used in which product. Apple aims to prove its claims through documents, access records and employee correspondence during the court process.
This case takes the cooperation between Apple and OpenAI, which started in June 2024, to a different point. apple, Bring ChatGPT to iOS 18, iPadOS 18, and macOS Sequoia with Siri and Authoring Tools It announced two years ago that it would integrate. This integration allowed Siri to transfer some questions to ChatGPT with the user’s approval and leverage OpenAI’s text and visual tools. Now, the two companies are facing each other over the development process of the physical devices that will run these services rather than artificial intelligence services.
OpenAI announced in May 2025 that it was developing a new device family with Jony Ive and the io Products team. The company incorporated the io team in July 2025, while Jony Ive and LoveFrom continued their independent work. OpenAI announced that Ive will take part in the design of the company’s products in this collaboration. Apple, on the other hand, claims that these devices are prepared with its own product development, production and supply information.
Apple, from the court financial compensation While demanding, he also wants an injunction that will prevent OpenAI from benefiting from the trade secrets in question. The company is also demanding that OpenAI, io Products, Tan and Liu return or destroy confidential Apple materials in their possession. In contrast, OpenAI states that it prepares its innovative products through independent research and development studies. The court will evaluate Apple’s trade secret claims by examining the technical records and internal documents submitted by the parties.