Previously, we have heard about lawsuits filed by tech companies over patent issues or defamation. But yesterday, Apple shocked the industry by filing a lawsuit against the widely popular AI manufacturer, OpenAI, accusing the company of a serious allegation of trade secrets theft.
Apple files a lawsuit against OpenAI
Apple has filed a lawsuit against OpenAI Foundation, OpenAI Group and two of its former employees: Chang Liu and Tang Yew Tan, in a federal court in San Jose, California.
In the lawsuit, the company has accused its former employees of stealing Apple’s trade secrets for the benefit of OpenAI. Apple has claimed it uncovered a pattern of theft of its trade secrets by former Apple employees who joined OpenAI.
It has been revealed that Chang Liu (Apple’s former Senior System Electrical Engineer) had access to Apple’s confidential and trade secret information while working on some of Apple’s most sensitive product development programs. In 2026, Liu left Apple and joined OpenAI, but he did not sign Apple’s confidentiality reminder, scheduled an exit interview and also failed to return an Apple-issued work laptop.
Apple has alleged that after departure, Liu has accessed Apple’s shared network files and downloaded dozens of Apple’s confidential hardware-related files, while developing hardware for OpenAI.
The company has mentioned that there were other former Apple employees as well who had gone to work for OpenAI and emailed themselves Apple’s confidential information. Tang Yew Tan, who worked as Vice President of Product Design for iPhone and Apple Watch, now works at OpenAI as Chief Hardware Officer. Apple’s investigation has revealed that Tang has been methodically using Apple’s confidential information to benefit OpenAI.
Tang is said to have emailed himself information about Apple’s suppliers and internal summaries of the consumer electronics industry, and while interviewing Apple employees at OpenAI, he used Apple’s confidential information to gain more knowledge.
Apple has strongly accused OpenAI of hiring Apple’s former employees as part of its strategy to extract Apple’s confidential information. OpenAI is said to instruct Apple employees to bring CAD/design artifacts, prototypes, tools or methods used for system integration and vendor selection and communication with vendors details. Also, the trials that failed during Apple’s trials were asked from the Apple employees by OpenAI.
Not only this, but OpenAI is also accused of instructing new hires to avoid scrutiny when they leave Apple. Apple’s investigation has found a pattern of employees who depart for OpenAI taking steps to evade the security processes intended to protect Apple’s confidential information.
According to the company, OpenAI is using Apple’s confidential details to enter the consumer hardware market and has also used this information in approaching Apple’s partners. In February 2026, Apple reported this alleged theft of trade secrets to OpenAI and asked the company to take precautions, but OpenAI never responded.
Apple mentioned in the lawsuit, “OpenAI’s goals in the consumer market would be immeasurably advanced and accelerated if it were permitted to freely exploit the secret technology, skills, and business acumen that Apple has spent decades developing and optimising.”
It is said that these findings are the “tip of the iceberg,” as Apple doesn’t know what was happening at OpenAI with the stolen information.
Reportedly, after the news of this lawsuit came out, Drew Pusateri, a spokesperson for OpenAI, said that the company was reviewing the court filing and mentioned, “We have no interest in other companies’ trade secrets.” He further added, “We remain focused on building innovative technology that empowers people everywhere.”
