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Apple Alleges OpenAI Coordinated Effort to Steal Trade Secrets

Created at 13 Jul · 6:56 PM2 sources↑ Market-relevant2 events
IN SHORT

Apple is suing OpenAI, claiming the AI company conspired with former Apple employees to steal trade secrets. The lawsuit alleges a former engineer exploited a bug to access confidential Apple data for weeks after his termination.

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Key Numbers

400+former Apple employees poached by OpenAI
24 yearsTang Yew Tan's tenure at Apple
8 yearsChang Liu's tenure at Apple
January 2026Chang Liu left Apple for OpenAI
February 9date Liu discovered the authentication bug

Who's Involved

Apple
tech giant suing OpenAI for trade secret theft
OpenAI
AI research company accused of conspiring to steal trade secrets
Chang Liu
former Apple engineer accused of stealing trade secrets
Yu-Ting “Alyssa” Peng
current Apple employee allegedly messaging with Liu
Tang Yew Tan
former Apple VP, allegedly spearheading OpenAI scheme
Sam Altman
CEO of OpenAI
Apple Alleges OpenAI Coordinated Effort to Steal Trade Secrets

↳ Why This Matters

This lawsuit highlights the intense competition and legal battles in the AI sector, particularly concerning the protection of intellectual property and trade secrets as companies race to develop advanced hardware and software.

Key facts

  • Apple alleges OpenAI conspired with former employees to steal trade secrets.
  • A former Apple engineer allegedly used a bug to access and download confidential Apple data for weeks.
  • The lawsuit claims OpenAI is attempting to gain an unlawful shortcut in AI-powered device development.
  • Apple seeks injunctions to prevent OpenAI from using the allegedly stolen confidential information.
  • OpenAI denies relying on stolen trade secrets and states it is focused on developing innovative technology.

Apple has filed a lawsuit against OpenAI, alleging a coordinated effort to steal trade secrets. The tech giant claims that a former Apple engineer, Chang Liu, who joined OpenAI in January 2026, exploited a rare authentication bug to maintain access to confidential Apple servers for several weeks after his termination.

According to Apple's complaint, Liu surreptitiously accessed and downloaded dozens of confidential hardware-related files, including details about unreleased products, engineering presentations, technical specifications, and proprietary project data. Some of these files were explicitly labeled as confidential. Liu allegedly shared his findings and discussed his access with a current Apple employee, Yu-Ting “Alyssa” Peng, through messages that Apple described as mocking the company.

Apple further alleges that Tang Yew Tan, a former Apple VP of product design for iPhone who became OpenAI's chief hardware officer, is directing a scheme to recruit former Apple employees and obtain trade secrets. Tan is accused of using insider knowledge to elicit information during job interviews and creating a checklist to help departing employees evade security measures when stealing trade secrets. Apple claims Tan also asked employees to bring computer parts for "show and tell" sessions that could reveal proprietary technologies.

OpenAI has disputed Apple's claims, stating that the company has no interest in other companies' trade secrets and remains focused on developing innovative technology. OpenAI CEO Sam Altman expressed respect for Apple but stated he is not afraid of the lawsuit. Apple is seeking several injunctions to block OpenAI from using the allegedly stolen information and believes this is the "tip of the iceberg" regarding a broader pattern of theft by former Apple employees at OpenAI.

Frequently asked questions

Apple alleges that OpenAI conspired with former Apple employees to steal trade secrets, using a bug to access confidential data and information about unreleased products.

Key individuals include Chang Liu, a former Apple engineer now at OpenAI accused of stealing data; Yu-Ting 'Alyssa' Peng, a current Apple employee; and Tang Yew Tan, a former Apple VP allegedly leading the recruitment and trade secret acquisition scheme at OpenAI.

Apple cites internal messages found on Liu's work laptop, server logs showing access to confidential files, and alleged instructions from Tan to employees regarding sharing information and computer parts.

OpenAI disputes the core claim, stating they have no interest in other companies' trade secrets and are focused on innovation. CEO Sam Altman expressed respect for Apple but not fear of the lawsuit.

What Happens Next

01OpenAI will respond to Apple's complaint.
02The court will consider Apple's request for injunctions.
03Further discovery may reveal more evidence of alleged trade secret theft.

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Cadence

How It Developed

Apple alleges OpenAI's culture includes accessing confidential data built on stolen trade secrets.
Apple filed a lawsuit against OpenAI, seeking injunctions to block the use of allegedly stolen confidential information.
Apple claims OpenAI conspired with former employees to unlawfully gain an advantage in AI-powered device development.
A former Apple engineer, Chang Liu, allegedly used an authentication bug to access Apple's network folders and download confidential hardware files.
Liu allegedly downloaded detailed information about unreleased products, engineering presentations, and proprietary project data, including a presentation on circuit boards.
Apple stated that Liu's messages mocked the company and indicated his awareness of accessing confidential data.
The bug was reportedly fixed quickly after Liu's messages were discovered, and other affected users did not appear to have accessed confidential information.
Apple alleges that former Apple VP of product design for iPhone, Tang Yew Tan, is spearheading a scheme to recruit Apple employees and obtain trade secrets.

Sources

T1
Apple sues OpenAI after ex-engineer allegedly used bug to steal trade secretsvar abtest_2162890 = new ABTest(2162890, 'impression');Ars Technica
T1
The wildest allegations in Apple’s trade secrets lawsuit against OpenAITechCrunch

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