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Apple Trade Secret Lawsuit Alleges OpenAI Coordinated Effort to Steal Confidential Data from Employees



By admin | Jul 13, 2026 | 4 min read


Apple Trade Secret Lawsuit Alleges OpenAI Coordinated Effort to Steal Confidential Data from Employees

Apple's trade secrets lawsuit against OpenAI contains a series of striking allegations that suggest a deliberate campaign to siphon confidential information from current and former Apple employees. Yet what stands out most is the nonchalant tone of the alleged misconduct, exemplified by one message that reads, "LOL, I found out I can access the [network storage], so funny."

The 41-page complaint, submitted on Friday, is packed with unusually specific details like this one. Below are some of the most notable claims.

**"Normalized and exemplified by leadership."** By describing OpenAI in these terms, Apple makes clear that its lawsuit targets not just individual employees but an organizational culture where such behavior is encouraged from the top.

**"Rotten to its core."** Apple seizes the opportunity to weave a rotten fruit metaphor into its critique of OpenAI's conduct. The AI model maker is rumored to be developing a hardware device—potentially a smartphone—to compete with the iPhone. But Apple insists that this project was allegedly built using its stolen trade secrets. "OpenAI’s nascent hardware business now rests on the shakiest of foundations, rotten to its core by its illegal reliance on misappropriated trade secrets," the complaint states.

**"This is the tip of the iceberg."** Beyond documenting allegations against former employees, Apple suggests that the misconduct detailed in the complaint represents only a fraction of what will emerge once the discovery process begins. During discovery, corporate documents and communications—including texts and emails—will be obtained, potentially revealing further examples of such behavior at OpenAI. "Discovery will expose that the misappropriation has been occurring on a scale many times greater than the several instances described below," Apple's complaint asserts.

**"LOL, I found out I can access the [network storage], so funny."** Apple alleges that Chang Liu, formerly a senior systems electrical engineer at Apple before joining OpenAI, sent this message to Yu-Ting "Alyssa" Peng, an Apple employee who allegedly acted as a liaison between Apple and OpenAI. Peng later left to join OpenAI herself but is not named as a defendant. According to Apple, Peng replied, "I’m ready." Apple claims Liu accessed its systems by exploiting an authentication bug, using a former colleague's Apple-issued work computer.

**"I still have another computer."** Liu allegedly sent this text within hours of leaving Apple, referring to another Apple computer he planned to use to access confidential information. Apple discovered the message on his former colleague's Apple-issued work laptop.

**"Didn’t even know we could take those from the office."** One of the more astonishing allegations involves OpenAI job candidates who worked at Apple. Apple claims that Tang Yew Tan, OpenAI's Chief Hardware Officer—who spent 24 years at Apple, most recently as VP of product design for iPhone and Apple Watch—instructed candidates to bring "actual parts" from Apple to their interviews for "show and tell sessions." One candidate expressed surprise at the request, saying they didn't realize Apple parts could be taken out of the office, according to Apple. The company also alleges that employees were told to bring "CAD/design artifacts" and "prototypes" to interviews.

**Avoiding the "dreaded walkout."** Apple alleges that OpenAI coached departing Apple employees on how to bypass security procedures to minimize the risk of being caught stealing trade secrets. The complaint claims OpenAI circulated an internal Apple document marked "Need to know" to new hires, detailing how to avoid the "dreaded walkout"—a process that would immediately remove them from Apple after giving notice, rather than allowing them to continue working for the typical two weeks, giving them more time to access confidential information.

**"Let OpenAI know 'asap'" if asked to sign anything when quitting Apple.** In addition to helping candidates avoid Apple's security measures, the complaint alleges that if Apple asked departing employees to sign any documents during an exit interview, they were instructed to notify OpenAI immediately and advised not to sign.

**"Over four hundred former Apple employees now working at OpenAI."** Another surprising detail: the complaint reveals the scale of employee migration from Apple to OpenAI. Apple uses this figure to highlight the potential scope of the problem, noting that "it is not surprising that certain OpenAI personnel have knowledge of Apple’s confidential and proprietary information, which they are obligated to keep confidential. But OpenAI has resorted to exploiting this confidential information..."

**"io…access, exploited and used Apple’s secret, proprietary industrial design techniques, processes, and know-how related to metal-finishing."** Founded by former Apple employees, including Jony Ive, the company io was acquired by OpenAI last year in a $6.5 billion deal. io is now a defendant in this lawsuit. Apple alleges that the firm used its industrial design techniques by misleading an Apple partner into believing it had permission to carry out a "confidential metal-finishing technique." Apple also claims that OpenAI approached a supplier using confidential information about design and components related to power and batteries, even using "internal terminology" to ask targeted questions that "only Apple-insiders would know to ask."

**"Apple is left with no choice."** Though this sounds like standard legal language, it appears Apple may have attempted to resolve the matter outside court first. The tech giant says it initially contacted OpenAI in February to raise concerns, but OpenAI never responded. So far, OpenAI has only commented publicly via a statement shared on X on Friday, which reads: "We have no interest in other companies’ trade secrets. We remain focused on building innovative technology that empowers people everywhere."




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