Published: 11:17 AM, 12 July 2026
Apple sues OpenAI, accusing it of stealing company secrets
Apple accused OpenAI on July 10 of stealing secrets about products still in development, setting up a legal face-off between two of the world's biggest tech companies.
In a lawsuit filed in the US District Court for the Northern District of California, the consumer tech giant said OpenAI, a leader in artificial intelligence that has a new hardware business, had asked job candidates from Apple to share details about secret projects and to bring device components and prototypes to their interviews, NYTimes reports.
Apple also accused an OpenAI employee of downloading internal documents from a laptop owned by the iPhone maker. That employee and OpenAI's top hardware executive were named as defendants in the suit. Both used to work at Apple.
OpenAI used the confidential information to approach Apple's manufacturing partners, including asking one partner to demonstrate Apple's technique for finishing metal on its devices, the lawsuit said. Apple sent a letter to OpenAI in February to raise concerns that confidential information could be "making its way to OpenAI's business improperly", according to the suit. OpenAI did not respond, Apple said.
"OpenAI's nascent hardware business now rests on the shakiest of foundations, rotten to its core by its illegal reliance on misappropriated trade secrets," Apple wrote in its lawsuit.
OpenAI pushed back against the accusations in a statement.
"We have no interest in other companies' trade secrets," a spokesman, Drew Pusateri, said. "We remain focused on building innovative technology that empowers people everywhere."
(The New York Times has sued OpenAI and Microsoft, claiming copyright infringement of news content related to AI systems. The two companies have denied those claims.) Apple's lawsuit against OpenAI sharply escalates tensions between the two tech titans, whose high-profile partnership had already begun to unravel.
Apple remains largely on the sidelines of AI, even as other technology giants spend hundreds of billions of dollars building AI models and data centres and as start-ups push the envelope on the technology.
To help catch up, Apple struck a deal with OpenAI in 2024 to use the AI start-up's technology to overhaul its products, including its digital assistant, Siri.
But OpenAI grew disappointed by how Apple integrated ChatGPT, and has even considered legal action. In January, Apple said it was teaming up with Google to power Siri and its other AI products.
Adding to the tension, OpenAI, which has confidentially filed for an initial public offering, is creating a new family of hardware products itself.
Sam Altman, OpenAI's chief executive, has long held ambitions to produce AI-powered devices. The nascent technology can be worn like jewellery or placed in a pocket - offering users features such as audio and video recording, or responses to voice commands.
Altman previously backed a now-defunct start-up called Humane, which built an AI device that users pinned to their clothing.
In 2025, OpenAI paid US$6.5 billion (S$8.4 billion) to buy IO, which at the time was a one-year-old design studio founded by Jony Ive, Apple's former longtime design head. During his 27 years at Apple, Ive developed Apple's minimalist aesthetic and worked with the company's late co-founder Steve Jobs to revolutionise the smartphone.
Before the acquisition, Altman worked with Ive to develop wearable devices that could run the start-up's AI technology. The two men have previously declined to discuss what such devices could look like or how they might work.
