Apple Inc. has initiated legal action against OpenAI, accusing the artificial intelligence startup and its chief hardware officer, Tang Tan, of orchestrating a campaign to steal confidential information regarding Apple's unreleased products. The lawsuit, filed on Friday, alleges that OpenAI encouraged former Apple employees to share proprietary components, designs, and other materials to aid in the development of its own AI device ecosystem.

This move marks a significant escalation in the relationship between the two companies, which previously collaborated on integrating OpenAI's AI features into Apple products. Apple claims that "significant evidence" suggests individuals employed by OpenAI wrongfully acquired its secret information. The iPhone maker is seeking an injunction to prevent further evidence destruction, the return of all trade secrets, and damages, demanding OpenAI redesign its upcoming products to exclude any allegedly stolen technology.

OpenAI, which acquired Jony Ive's io studio for $6.4 billion in May 2025 to bolster its hardware ambitions, has denied the allegations, stating it has "no interest in other companies' trade secrets" and remains focused on building innovative technology. The lawsuit highlights the cutthroat environment in Silicon Valley as companies like Apple, OpenAI, and Meta Platforms vie to establish dominance in a post-smartphone future centered on AI-powered devices.

The legal challenge also brings to light the delicate balance between talent acquisition and intellectual property protection in a rapidly evolving sector. As former Apple Vice President of Product Design, Tang Tan's move to OpenAI as chief hardware officer, followed by other ex-Apple engineers, is central to Apple's claims. The outcome of this case could set precedents for how tech companies manage employee transitions and safeguard their innovations in the competitive AI landscape.