OpenAI Denies Apple's Trade Secret Theft Allegations: Report

OpenAI is refuting any wrongdoings as Apple accuses the ChatGPT maker of stealing confidential trade secrets and poaching Apple employees

Siddhartha Samaddar profile pictureby Siddhartha Samaddar
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Apple OpenAI lawsuit

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Summary

  • Apple sued OpenAI, alleging that the ChatGPT creator used former Apple employees and confidential information to develop its hardware products.
  • OpenAI has issued a statement denying any wrongdoing in response to Apple's lawsuit.
  • According to OpenAI, Apple's allegations have no merit and employees are free to work anywhere they want.
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Last week, Apple filed a lawsuit against OpenAI, accusing the company of stealing confidential hardware information through former Apple employees. The ChatGPT maker has rejected the allegations, calling them baseless, marking its first formal response since the lawsuit was filed last week.

OpenAI Says Apple's Allegations Have "No Merit"

In an official statement shared with Bloomberg, OpenAI said that "while we take these allegations seriously, we’re not aware of any evidence that this complaint has merit.”  The company further added that they believe in fair competition and that employees have the freedom to work anywhere.

This is in response to Apple's claim that more than 400 Apple employees have migrated to OpenAI. The iPhone maker also alleges that OpenAI hardware chief Tang Tan and former Apple engineer Chang Liu used the OpenAI hiring process to extract confidential information.

However, it is important to note that OpenAI has only refuted the claims and has not presented any substantial evidence to support its defence. Apple's lawsuit, on the other hand, comprises specific allegations, examples and supporting documentation.

OpenAI ChatGPT concept phone render created using ChatGPT
Image Credit: Anmol Sachdeva/ Beebom Gadgets
OpenAI ChatGPT concept phone render created using ChatGPT
Image Credit: Anmol Sachdeva/ Beebom Gadgets

This lawsuit also comes at a time when OpenAI is prepping for its first IPO and is also allegedly developing its first agentic AI smartphone. The brand recently acquired iO Products, founded by Jonny Ive and OpenAI is reportedly prepping to launch an AI smart speaker as its first consumer tech product.

Hence, the lawsuit can significantly derail the ChatGPT maker's upcoming plans and if they are indeed based on stolen tech, the products might get scrapped altogether. That said, Apple is aiming for a jury trial at the U.S. District Court for the Northern District of California.

The company is aiming to uncover more evidence through discovery and has requested an injunction, asking OpenAI to immediately cease any use of Apple material to develop future products and hand over all the evidence.

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Source

Bloomberg

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