Apple filed a 41-page federal lawsuit against OpenAI and io Products on July 10, 2026, in the U.S. District Court for the Northern District of California. The complaint accuses two former Apple employees now at OpenAI of misusing confidential information while building a hardware device for the AI company.
The suit names Tang Tan, OpenAI’s Chief Hardware Officer, and Chang Liu, an OpenAI staff member, as central figures. Both previously worked at Apple, and Apple’s complaint lays out specific allegations about how each is said to have handled confidential material during and after their departures.
What Apple’s Complaint Alleges
According to the complaint, Tan spent about 24 years at Apple, rising to vice president of product design for the iPhone and Apple Watch, before joining OpenAI. Apple alleges he used confidential Apple codenames while recruiting for OpenAI, asked candidates to bring Apple hardware parts with them, and coached departing employees on how to evade Apple’s security checks.
Liu, who spent eight years at Apple before joining OpenAI’s staff, is accused of keeping an Apple-issued laptop, downloading confidential files, and sharing information with Apple staff who were interviewing at OpenAI. Apple is seeking an injunction, damages and a declaratory judgment; the reports cited here do not specify a damages figure.
A Quote From the Complaint, Not a Separate Statement
Apple’s complaint states: “At every level, from members of its Technical Staff to its Chief Hardware Officer… OpenAI has been stealing Apple’s trade secrets.” That language comes directly from the filing itself, not from a separate company statement.
Apple’s complaint also states that the company sent OpenAI a warning letter in February 2026 and received no response.
The io Products Deal and Jony Ive’s LoveFrom
The dispute centers partly on io Products, the hardware startup OpenAI acquired in May 2025. Fortune reported the deal was valued at $6.4 billion, while TechCrunch reported a figure of $6.5 billion. Per OpenAI’s own announcement of the acquisition, the io Products team merged into OpenAI, while Jony Ive’s separate design studio, LoveFrom, remained an independent company and did not merge into OpenAI.
OpenAI’s Response
OpenAI pushed back on the allegations in a statement: “We have no interest in other companies’ trade secrets. We remain focused on building innovative technology that empowers people everywhere.”
The case adds a legal dimension to the broader rivalry between Apple and OpenAI as both companies compete for hardware talent and, potentially, for a foothold in consumer AI devices. For now, what’s confirmed is the filing itself and the statements each side has put on the record.
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