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Apple alleges OpenAI stole trade secrets from over 400 former staff, naming chief hardware officer Tang Tan and engineer Chang Liu in a Northern California
Apple filed a lawsuit in the Northern District of California on Friday accusing OpenAI of stealing trade secrets related to upcoming Apple products, a claim that could jeopardize OpenAI’s hardware ambitions and its partnership with Apple’s Siri platform [1].
| At a glance | |
|---|---|
| Plaintiff | Apple Inc. |
| Defendant | OpenAI (ChatGPT maker) |
| Named individuals | Tang Tan (Chief Hardware Officer), Chang Liu (former Apple engineer) |
| Alleged theft | Over 400 former Apple employees now at OpenAI; confidential files, parts, and designs allegedly taken |
Apple’s complaint says OpenAI “encouraged Apple employees to share information, components, drawings and other materials” as the AI startup builds its own hardware line. The suit names Tang Tan, who spent 24 years at Apple leading iPhone, Watch and AirPods design, and Chang Liu, who downloaded dozens of unreleased Apple hardware files after moving to OpenAI in January. Apple claims the defendants “coached departing employees on how to avoid the ‘dreaded walk out’” to keep accessing Apple’s confidential data [1][2].
The filing also alleges that OpenAI’s hardware business rests on “the shakiest of foundations” because it allegedly relies on misappropriated Apple secrets. Apple is seeking a jury trial, an injunction to stop the alleged practices, destruction of any proprietary materials, and redesign of OpenAI’s upcoming products to remove any Apple‑derived technology [1].
The lawsuit arrives as OpenAI prepares for an initial public offering and has recently acquired the design firm io Products—co‑founded by former Apple chief designer Jony Ive—for $6.5 billion. OpenAI’s push into hardware, including AI earbuds and a smartphone, aims to diversify revenue beyond its subscription model, a move that could be hampered if the case forces redesigns or damages the partnership that lets Apple users access ChatGPT via Siri. Apple’s own AI‑focused hardware roadmap—smart glasses, pendants and camera‑equipped AirPods—relies on protecting its proprietary designs, making the dispute a litmus test for talent‑poaching practices in the AI race [1][2].
OpenAI’s relationship with Apple has already soured; Bloomberg reported earlier this year that OpenAI considered legal action over a perceived lack of benefit from the Siri integration. The current suit could further strain that collaboration, potentially prompting Apple to seek alternative AI partners or accelerate its own in‑house solutions.
The case underscores how aggressively both Apple and OpenAI are protecting—or contesting—intellectual property as AI becomes central to next‑generation devices, and it may set a precedent for future talent‑poaching disputes in the tech sector.
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AI-assisted synthesis by the TrendWatcher Editorial Desk · sourced from 2 outlets · Jul 11, 2026 · How we report
OpenAI is hiring a product manager to develop AI experiences for families, caregivers, and older adults, reflecting a shift toward household‑level applications.
Apple alleges that two former Apple employees who now work at OpenAI stole trade secrets related to hardware design, filing the suit to stop the alleged misuse.
OpenAI supplies AI services to subsidiaries of Alibaba, Baidu, and Tencent that are registered in Singapore, a jurisdiction not covered by current U.S. geographic export bans.
OpenAI detected suspected model distillation by several Alibaba‑affiliated users, suspended their API access, and reported the activity to the U.S. government.
Experts suggest that U.S. trade regulations should focus on the corporate ownership of end‑users rather than the physical location of servers to address the loophole.