OpenAI Fires Back at Apple, Denying Trade Secret Theft and Calling Lawsuit Based on False Information

Apple Pushes Legal Fight Further Against OpenAI

The legal dispute between Apple and OpenAI has intensified, with the iPhone maker asking a US court to stop OpenAI and two former Apple employees from accessing, using or sharing what it says are confidential company materials while its trade secrets lawsuit moves forward.

Apple has also asked the court to fast-track the discovery process, seeking documents linked to the alleged access of its proprietary information.

The company wants former Apple employees Chang Liu and Tang Yew Tan to give depositions, alongside OpenAI employee Yu-Ting Peng, another unnamed OpenAI employee who previously worked at Apple, and representatives from OpenAI and its hardware business, io Products.

Apple argued in its court filing that it would suffer lasting damage without immediate court intervention, stating,

"Apple will be irreparably harmed absent a preliminary injunction."

Apple Wants Court Order Over Alleged Trade Secrets

Apple filed its lawsuit in July, accusing OpenAI and the two former employees of misappropriating trade secrets to support OpenAI's expansion into consumer hardware.

According to the lawsuit, Liu, a former senior system electrical engineer at Apple, and Tan, Apple's former vice president of product design for the iPhone and Apple Watch, improperly took confidential information that could benefit OpenAI's hardware ambitions.

The case has become one of the biggest legal battles over the future of AI-powered consumer devices.

Industry analysts believe OpenAI is developing its own phone or another consumer device that could compete for users' attention outside Apple's iPhone ecosystem.

OpenAI Rejects Apple's Allegations

OpenAI has strongly denied Apple's claims, publishing a detailed blog post titled ‘Apple is getting this wrong’ alongside internal communications that it says contradict parts of Apple's lawsuit.

The company described Apple's legal action as "careless, aggressive, and oddly personal" while insisting it has no interest in obtaining Apple's confidential information.

OpenAI said,

"Apple’s request for a preliminary injunction is both based on false information and completely unnecessary because we do not have, nor want, any of their trade secrets."

The company added,

"We’re much more interested in building innovative products and technologies that push the frontier."

OpenAI Challenges Apple's Timeline

OpenAI also disputed Apple's account of how the dispute unfolded before the lawsuit was filed.

According to OpenAI, Apple previously claimed it had contacted the company in February but received no response.

OpenAI said Apple has since admitted its external lawyers mistakenly emailed OpenAI's General Counsel, Che Chang, after confusing him with a former Apple employee who shared a similar surname.

OpenAI further claimed Apple acknowledged that an alleged discussion with its General Counsel never actually happened.

The company said Apple never presented the specific allegations contained in the lawsuit before filing it and, after the initial communication, remained silent for five months before taking legal action.

Disagreement Over Former Employee Access

One of Apple's accusations centres on former employee Chang Liu, whom Apple alleges accessed confidential files after leaving the company.

OpenAI argued that internal messages show Apple employees themselves contacted Liu after his departure and asked him to help locate the files.

It said Apple has since shifted its argument to what it described as "residual access", which OpenAI said is a common issue caused when former employees retain access because company systems are not immediately updated.

Regarding Tang Tan, OpenAI said he had made it clear to his team that they should not obtain or use confidential information belonging to other companies.

OpenAI added that it would have addressed Apple's concerns had they been raised before the lawsuit, saying the company had offered to work with Apple to resolve the matter.

Battle Over Future AI Hardware Continues

The court fight comes as competition between Apple and OpenAI expands beyond software and artificial intelligence into consumer hardware.

Apple's lawsuit follows OpenAI's earlier success in defeating a legal challenge brought by Elon Musk's xAI.

As the case moves forward, the dispute is expected to test how companies protect confidential technology while competing to develop the next generation of AI-powered devices.