Apple sues OpenAI for trade theft, sending shock – Business News
Apple sued OpenAI and two ex-employees in a bombshell go well with accusing them of stealing the patron tech giant’s trade secrets and techniques.
The grievance alleging coordinated theft of product designs, manufacturing processes and provide chain methods was filed Friday within the US District Court for the Northern District of California.
“This case is about Apple’s former employees stealing Apple’s trade secrets for the benefit of OpenAI. Apple brings this suit to put a stop to it,” the lawsuit acknowledged.
The grievance alleged theft of product designs, manufacturing processes and provide chain methods. AP Photo/Matthias Schrader
The sued staff had been recognized as Chang Liu, a former senior system electrical engineer at Apple, and Tang Yew Tan, a former VP of product design. They went to work for OpenAI in 2024 and this 12 months, respectively — taking unreleased Apple tech with them, the go well with alleged.
Liu was accused of failing to return an Apple-issued work laptop computer, later exploiting a bug to entry the company’s inner community and downloading “dozens of Apple’s confidential hardware-related files” whereas working for OpenAI.
He “celebrated his improper access, exclaiming in a message left on his colleague’s Apple-issued work laptop ‘LOL’ and that it was ‘so funny,’” the go well with acknowledged.
The grievance additionally mentioned Tan “has been methodically using Apple’s confidential information to benefit OpenAI” — emailing himself data in regards to the company’s suppliers and inner industry summaries earlier than his exit.
He additionally directed Apple staff making use of to work for OpenAI to convey “‘actual parts’ from Apple to their interviews for ‘show and tell’ sessions,” in keeping with the go well with.
Stunningly, such machinations got here at OpenAI’s behest, the go well with acknowledged.
“This is part of OpenAI’s strategy to extract Apple’s confidential information,” it learn, including: “OpenAI also instructs new hires on how to avoid scrutiny when they leave Apple.”
Tang Yew Tan, a former VP of product design. linkedin/tangtan/
OpenAI denied the allegations in opposition to it.
“We have no interest in other companies’ trade secrets,” spokesman Drew Pusateri mentioned in a assertion. “We remain focused on building innovative technology that empowers people everywhere.”
The go well with appears sure to finish the high-profile partnership Apple and OpenAI launched in 2024, with the patron {hardware} company integrating the AI lab’s tech into the iPhone working system.
Chang Liu, a former senior system electrical engineer at Apple. linkedin/chang-liu
Apple has been on a drive to increase its AI efforts after lagging behind opponents for years.
OpenAI not too long ago ventured into the {hardware} space, shopping for io Products — based by former Apple designer Jony Ive — in a $6.5 billion deal final 12 months. Tan labored for Ive, in keeping with 9 to five Mac.
“At Apple, our teams are constantly developing breakthrough technologies to create the best products and services in the world, and protecting their work and intellectual property is something we take very seriously,” Apple advised The Post in a assertion.
OpenAI not too long ago ventured into the {hardware} space, shopping for io Products — based by former Apple designer Jony Ive — in a $6.5 billion deal final 12 months. Tan labored for Ive, in keeping with 9 to five Mac. OpenAI CEO Sam Altman, above. Getty Images
“Recently, significant evidence has emerged suggesting individuals employed by OpenAI wrongfully took Apple’s secret and confidential information regarding our unreleased technologies, processes, and products. We will always defend our teams’ hard work and innovations, and we are taking all appropriate steps to do so.”
The go well with emphasised the “institutional” nature of OpenAI’s alleged trade theft.
“This is the tip of the iceberg,” it mentioned.
“Apple lacks visibility into what’s been happening behind closed doors at OpenAI, where such misconduct is normalized and exemplified by leadership,” the go well with continued.
“This much is clear, however: at every level, from members of its Technical Staff to its Chief Hardware Officer, and in coordination with business partners, OpenAI has been stealing Apple’s trade secrets and confidential information.”
The Post has sought remark from OpenAI.
With Post wires
