“Apple sues OpenAI over trade secret theft”

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Apple has filed a lawsuit against OpenAI, accusing the artificial intelligence company of stealing trade secrets to develop hardware for its ChatGPT platform. The lawsuit, filed in a California federal court, alleges a coordinated effort by OpenAI to unlawfully obtain confidential information from Apple. Two former Apple employees, Tang Tan and Chang Liu, who now work for OpenAI, are named as defendants in the lawsuit.

OpenAI has denied the allegations, stating that they are focused on developing innovative technology and have no interest in misappropriating trade secrets. Apple claims that the stolen information was used to advance OpenAI’s hardware business, which Apple asserts is founded on illegally acquired trade secrets.

Apple initiated an investigation after suspecting that confidential information had been compromised, leading to the discovery of a pattern of theft by former employees who subsequently joined OpenAI. The lawsuit alleges that Liu and Tan accessed and downloaded Apple’s confidential files while at OpenAI, with Liu retaining hardware-related files on an Apple device after leaving the company.

The partnership between Apple and OpenAI, initially aimed at integrating ChatGPT into Apple products, has shifted towards rivalry. OpenAI’s recruitment of former Apple designer Jony Ive to lead an AI-powered device project has further strained the relationship. Last year, OpenAI announced a hardware collaboration with Ive, prompting a lawsuit from a tech startup over trademark infringement and trade secret theft allegations.

As OpenAI considers going public and faces increasing competition, Apple’s lawsuit adds to the escalating tensions between the two tech companies. OpenAI continues to pursue hardware development, with plans to introduce consumer devices later this year according to their CFO.

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