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Apple says more ex-employees may have taken confidential data to OpenAI

Published byAIDaily Editorial Team
4 min read
Original source author: Sarah Perez

Apple says its trade secrets investigation into OpenAI has widened. In a new court filing, Apple claims additional former staff may have retained or accessed confidential information.

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Apple is now seeking a preliminary injunction in its trade secrets case against OpenAI, which aims to stop the AI model maker from moving forward with developing an AI device or other products based on Apple’s technology. The iPhone maker also claims that more of its former employees may be involved with the trade secrets theft.

In a new filing , Apple is requesting expedited discovery from the accused OpenAI employees, senior systems engineer Chang Liu and Chief Hardware Officer Tang Yew Tan; OpenAI, and its foundation; and io, the device startup co-founded by Apple’s former lead designer Jony Ive.

Apple also notes that its continued investigation has so far revealed 11 other former Apple employees beyond Liu and Tan may have been witnesses or otherwise involved in the case, and others who were previously named in the original complaint, like OpenAI employee Yu-Ting Peng.

The filing marks an escalation in Apple’s legal battle with OpenAI, as it suggests Apple has uncovered new evidence that the misconduct goes beyond the former employees named in the original complaint.

“For example, another former Apple employee seems to have met with Mr. Liu and Ms. Peng in advance of Ms. Peng’s interview at OpenAI and discussed with them during that meeting Apple proprietary information relating to unannounced products,” the filing states. “Yet another former Apple employee took screenshots of confidential Apple documents relating to an unannounced Apple product before an interview at OpenAI.”

“And, after Apple filed its complaint, multiple former Apple employees now working at OpenAI reached out to discuss returning Apple-issued work devices they kept when they left Apple,” Apple claims, suggesting there were more who were possibly involved with the scheme.

Apple is pushing the court to allow for expedited discovery because it believes it has good cause to suspect that there are others involved in the theft of its intellectual property. The company noted that its motion for a preliminary injunction is also pending.

OpenAI responded publicly to Apple’s latest, saying in a blog post that Apple’s request for a preliminary injunction is “both based on false information and completely unnecessary because we do not have, nor want, any of their trade secrets.”

“We’re much more interested in building innovative products and technologies that push the frontier,” OpenAI’s statement reads.

The AI model maker also pointed to earlier mistakes Apple made, which had been reported, including that Apple emailed the wrong person when it made contact with OpenAI after confusing two similar surnames. OpenAI also alleges that Apple lied about discussing matters with its general counsel. And, the company said that Apple didn’t admit to the claim that the “residual access” allowing former employees to access Apple’s system was the result of poor security procedures on Apple’s part.

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Key takeaways

  • The dispute between Apple and OpenAI highlights the importance of intellectual property protection in the tech sector.
  • OpenAI's response suggests a focus on innovation but raises questions about ethics and transparency.
  • The outcome of the case may set precedents that will affect talent movement and collaboration between companies.

Editorial analysis

Apple's widening investigation into OpenAI highlights the growing concern over intellectual property protection in the tech sector, especially at a time when AI is becoming a cornerstone of innovation. For Brazil, where the tech startup ecosystem is expanding, this situation serves as a warning about the importance of safeguarding sensitive information and the need for robust compliance policies. The talent exchange between large companies and startups, while beneficial for innovation, can also pose significant risks if there is inadequate control over what is shared and retained by former employees.

Moreover, OpenAI's response, denying possession of Apple's trade secrets, raises questions about transparency and ethics in the development of emerging technologies. The fact that OpenAI positions itself as a company focused on innovation, without interest in competitors' secrets, can be seen as an attempt to mitigate damage to its reputation, but it also prompts us to question how companies are managing knowledge transfer and collaboration in such a competitive environment.

The outcome of this case could influence how tech companies, both in Brazil and globally, approach intellectual property issues. The judicial decisions resulting from this dispute are expected to set precedents that will shape market practices and the relationship between former employees and new startups. The sector should closely monitor how the courts interpret the claims of Apple and OpenAI, as this could impact trust in future collaborations between companies and the movement of talent within the industry.

Finally, the situation underscores the need for ongoing dialogue about ethics and responsibility in the use of data and confidential information. As more tech companies, including Brazilian startups, seek to position themselves in the global market, protecting their innovations and trade secrets will become increasingly crucial. What is at stake here is not just the reputation of individual companies, but the integrity of the entire tech ecosystem, which relies on mutual trust among its participants.

What this coverage includes

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  • Editorial framing about relevance, impact, and likely next developments.
  • Review for readability, context, and duplication before publication.

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