Apple Sues OpenAI for Theft of Trade Secrets

Apple has filed a lawsuit against AI company OpenAI in federal court in California. The tech giant alleges that OpenAI, by enlisting former Apple employees, has misappropriated trade secrets concerning unreleased products, components, and information about Apple's supply chain.

According to the lawsuit, Tang Tan, a former Apple designer now heading hardware at OpenAI, and Chang Liu, a former electronics engineer at Apple, allegedly asked Apple employees interviewing with OpenAI to provide confidential information. Apple claims Tan exploited his knowledge of departure processes to help employees secretly transfer data, thereby supplying OpenAI with vital documents regarding Apple's supply chain.

Apple asserts that OpenAI guided new hires on evading the company's security audits upon departure. Tan reportedly advised employees not to disclose their impending move to OpenAI to extend their tenure. Tan is also accused of retaining an internal Apple document detailing employee exit security procedures, marked "confidential."

The lawsuit states that some employees who moved to OpenAI have been observed sending confidential data to their personal email accounts. Others have allegedly used trade secrets to develop hardware products for OpenAI. Apple also claims to have found evidence of OpenAI using Apple's trade secrets in negotiations with Apple's suppliers.

Apple is seeking a court order prohibiting OpenAI from using or disclosing the information, along with monetary damages. The company is also suing Tang Tan and Chang Liu for breach of contract.