Apple Targets Former Employees at OpenAI with Legal Warnings in Escalating IP Battle

Apple has escalated its legal offensive against OpenAI by directly targeting its former employees with legal warnings, marking a highly personal turn in the battle over proprietary technology. The iPhone maker recently sent warning letters to dozens of its former staff members who have transitioned to the artificial intelligence startup, demanding they preserve communications and meet with Apple’s legal counsel.

According to a report by the Financial Times, the letters were sent to approximately 40 individuals, representing about 10 percent of the estimated 400 former Apple employees currently working at OpenAI. This aggressive step follows a lawsuit Apple filed in a California federal court accusing OpenAI of systematically stealing trade secrets related to hardware development. Apple has characterized the evidence uncovered so far as merely “the tip of the iceberg.”

The core of Apple’s lawsuit focuses on two high-profile former employees: Chang Liu, a former senior electrical systems engineer, and Tang Yew Tan, who previously served as Apple’s vice president of product design for the iPhone and Apple Watch.

According to details reported by CNN, Apple alleges that Liu bypassed security protocols to access a colleague’s computer and download confidential files regarding unreleased hardware. Meanwhile, Tan is accused of leveraging his insider knowledge during recruitment processes at OpenAI, allegedly instructing job candidates to bring physical Apple components to their interviews.

This legal clash comes at a critical juncture for both companies. OpenAI has been actively expanding its ambitions beyond software, collaborating with legendary former Apple designer Jony Ive to develop consumer hardware. Reports from Bloomberg suggest this upcoming device is a screenless, AI-powered smart speaker designed to act as a domestic companion, controlling home accessories, managing messages, and playing music via ChatGPT.

The aggressive poaching of talent and subsequent litigation highlight a broader trend in Silicon Valley, where the race for generative AI supremacy has intensified disputes over intellectual property. Because California law heavily restricts non-compete agreements, tech companies frequently rely on trade secret litigation to prevent departing employees from transferring proprietary research to competitors. Apple’s latest moves indicate a determination to safeguard its proprietary hardware secrets as OpenAI attempts to transition from an AI software developer into a physical product manufacturer.

Before initiating formal litigation, Apple reportedly attempted to resolve the dispute directly with OpenAI. However, these negotiations collapsed due to a misdirected email. The legal hostility also follows internal friction regarding a partnership to integrate ChatGPT into iOS, with OpenAI executives privately expressing frustration that Apple failed to make a genuine effort to implement the integration effectively.