Apple Sues OpenAI for Stealing Hardware Trade Secrets; 2024 Partnership Collapses

On July 10, 2026, Apple filed a lawsuit against OpenAI in the U.S. District Court for the Northern District of California, accusing the latter of illegally obtaining hardware development-related trade secrets through the recruitment of former Apple employees. The lawsuit also names OpenAI's Chief Hardware Officer Tang Tan and former Apple engineer Chang Liu as key figures, alleging that OpenAI has contacted at least two Apple suppliers to extract process details.

Apple's allegations show that Tang Tan had already sent important Apple supplier information to himself via email before leaving the company, and after becoming OpenAI's Chief Hardware Officer, he instructed job seekers to bring actual components such as batteries and logic boards to interviews for display. Chang Liu, after leaving in January 2026, exploited identity verification vulnerabilities to access and download dozens of confidential Apple hardware documents, including technical specifications and engineering presentations for unreleased products. Apple's audit records indicate that over 400 former Apple employees currently work at OpenAI, spanning departments such as product design, display, antenna, and hardware procurement.

Mechanism Breakdown

Apple's lawsuit reveals a fixed pattern by which OpenAI obtains trade secrets: using guidance documents for departing employees to circumvent security procedures, extending system access rights, and avoiding the termination escort process. OpenAI is also accused of misleading a major Chinese assembler into believing it had obtained Apple's permission, thereby executing proprietary Apple confidential metal surface treatment technology. Another battery supplier was tricked into revealing core component process details through targeted questions. These actions directly served the development of OpenAI's hardware product line after acquiring io Products.

The turning point in the relationship between the two parties stemmed from a 2024 cooperation agreement. OpenAI's ChatGPT had been integrated into the operating systems of iPhone, iPad, and Mac. At Apple's Worldwide Developers Conference, both sides publicly referred to each other as pioneers and market leaders. However, after OpenAI acquired io Products, founded by Jony Ive, for $6.5 billion, its hardware ambitions directly clashed with Apple's own plans for AI devices such as smart glasses and AirPods. Apple sent a letter to OpenAI expressing concerns in February 2026, and after receiving no response, escalated the matter to litigation.

Industry Impact

For OpenAI, the lawsuit directly threatens the foundation of its hardware business. Apple is demanding the destruction of all involved materials and a product redesign. OpenAI has secretly filed IPO documents, and potential liability will increase investor uncertainty. OpenAI denies interest in other companies' trade secrets, but the background of Tang Tan, the key figure in its hardware team, brings the legality of talent mobility into focus.

For Apple, the lawsuit may temporarily alleviate pressure from talent attrition, but it also exposes the limitations of its AI strategy relying on external models. The latest AI components for Siri have already shifted to Google Gemini instead of ChatGPT, indicating a substantive cooling of the partnership. On the supply chain side, assemblers like Luxshare Precision and Goertek may face Apple scrutiny over their contacts with OpenAI.

Developers and enterprise users will see limited impact in the short term. ChatGPT remains an option on iOS, but the hardware competition between the two sides will raise patent barriers in the AI device space, increasing compliance costs for new entrants.

Strategic Judgment

Based on the lawsuit details and the history of both parties, OpenAI is most likely to seek an out-of-court settlement or adjust its hardware roadmap before the IPO to reduce legal risks. Signals include whether OpenAI continues to recruit former Apple employees, whether it publicly responds to specific allegations, and whether Apple conducts audits on more suppliers.