Apple Inc. vs OpenAI: A Legal Showdown Over Trade Secret Theft
In an unprecedented legal face-off in Silicon Valley, Apple Inc. has lodged a lawsuit against OpenAI in the U.S. District Court for the Northern District of California. The tech giant alleges that OpenAI has been involved in a coordinated theft of trade secrets, linked to its efforts to develop its own consumer hardware.
The lawsuit, filed on July 10, 2026, points the finger at OpenAI’s Chief Hardware Officer Tang Tan. Tan, a former Apple stalwart with 24 years of service and a past stint as VP of product design for the iPhone and Apple Watch, is accused of instructing Apple employees to disclose confidential components, codenames, and engineering data during recruitment interviews. Another ex-Apple employee, senior electrical engineer Chang Liu, is alleged to have retained an Apple-issued laptop post his departure from the company, using it to download numerous confidential files, including technical specifications and information about unreleased products.
“At every level, from members of its Technical Staff to its Chief Hardware Officer, and in coordination with business partners, OpenAI has been stealing Apple’s trade secrets and confidential information,” Apple stated in its 41-page legal complaint. Apple is seeking injunctive relief, monetary damages, and an order for OpenAI to return all misappropriated materials. OpenAI responded by saying: “We have no interest in other companies’ trade secrets.”
This lawsuit marks a surprising turn of events for the two tech giants, which had formed a high-profile partnership in 2024 to integrate ChatGPT into Apple’s iOS. The legal battle comes at a time when OpenAI is gearing up for an anticipated IPO and the launch of its first hardware device, co-developed with design firm io Products — a company co-founded by former Apple design chief Jony Ive.
Source: TechCrunch – Apple sues OpenAI over alleged trade secret theft