Apple filed a lawsuit on Friday against OpenAI over allegations of trade secret theft and breach of contract, accusing the AI company’s senior leadership of orchestrating a scheme to misappropriate confidential hardware designs and product information.
The lawsuit, filed in the U.S. District Court for the Northern District of California, targets OpenAI’s Chief Hardware Officer Tang Tan, who spent 24 years at Apple as VP of product design for the iPhone and Apple Watch. Apple alleges Tan used confidential project code names during recruiting, asked job candidates to bring Apple hardware components to interviews, and coached departing employees on how to evade security procedures.
Apple also named senior systems electrical engineer Chang Liu, alleging he failed to return an Apple-issued laptop after leaving for OpenAI and used it to download confidential technical documents including information about unannounced technologies, engineering presentations, and proprietary project data.
The accusations come as OpenAI is rumored to be developing its first hardware product, potentially a smartphone that would compete with the iPhone. The company acquired Jony Ive’s device startup io last year for $6.5 billion to support its hardware ambitions.
Apple is seeking to bar OpenAI from using its trade secrets, require the return of confidential materials, and preserve evidence. OpenAI responded publicly saying it has no interest in other companies’ trade secrets and remains focused on building innovative technology.

