Apple Sues OpenAI for Trade Secret Theft: A 'LOL' Sparks War Over Hardware Talent and Data

Apple has filed a civil lawsuit in California court against OpenAI and two former Apple employees, alleging that OpenAI systematically poached talent, exploited former employees' unrevoked system access to steal confidential hardware files, and leveraged ex-Apple executive Tang Tan's hiring process to obtain information on unreleased projects. The core of the lawsuit stems from former Apple electrical engineer Chang Liu, who discovered after leaving for OpenAI in January 2025 that he could still access Apple's internal network storage. Instead of reporting it, he shared access methods with current colleague Alyssa Peng and downloaded dozens of confidential files over several weeks, including engineering demos, technical specs, and project data for unreleased products. Apple's investigation found that over 400 former Apple employees now work at OpenAI, many from hardware, design, manufacturing, and supply chain teams, with some departures impacting the rebuilding of the new iPhone team. OpenAI's hardware head Tang Tan is accused of asking candidates to bring samples of Apple hardware components during interviews and possessing Apple's internal offboarding security procedures to guide employees in evading scrutiny. Apple demands OpenAI destroy all allegedly stolen materials and avoid using Apple technology in its products. OpenAI responded that it has 'no interest in other companies' trade secrets,' but the lawsuit has already hampered its recruitment and product development. The case highlights the sharp conflict between Silicon Valley talent mobility and trade secret protection, especially in AI hardware, where the boundaries of technology and corporate assets are increasingly blurred.