OpenAI Seeks Dismissal of Apple Trade Secrets Lawsuit

OpenAI asked a judge to dismiss Apple’s lawsuit accusing the company of stealing trade secrets.

The artificial intelligence startup said Apple’s claims have no merit, and its lawsuit falsely portrays its employees’ actions, according to documents filed Wednesday (Aug. 5) by OpenAI in federal court.

“Apple built its reputation by paying close attention to the smallest details,” the filing said. “This lawsuit does the opposite. Plainly filed without adequate investigation and built on selectively excerpted communications and ordinary conduct stripped of context, Apple’s complaint is—to borrow its own phrase—‘rotten to its core.’”

OpenAI Chief Hardware Officer Tang Tan was acting in accordance with industry recruiting standards when interviewing Apple employees, according to the filing. OpenAI technical staff member Chang Liu, who was accused of theft, was trying to help a former colleague at Apple, and not—as the iPhone maker alleged—attempting to purloin trade secrets.

“Apple should not be permitted to use a baseless and pretextual lawsuit to make up for its shortcomings in the market for talent and retaining its employees, and its failures to integrate AI into its products,” OpenAI’s filing said.

Apple did not reply to PYMNTS’ request for comment.

Apple filed its lawsuit last month, alleging that Tan and Liu stole trade secrets to support the development of devices at OpenAI.

The suit alleged Tan emailed himself information about Apple’s suppliers and asked Apple employees to bring parts with them when interviewing for jobs with OpenAI. Apple also claimed Liu downloaded confidential files from Apple’s network and instructed an Apple employee how to copy confidential files.

Apple said in the suit that it doesn’t know what OpenAI did with the information but alleged that “at every level, from members of its Technical Staff to its Chief Hardware Officer, and in coordination with business partners, OpenAI has been stealing Apple’s trade secrets and confidential information.”

Days after the suit was filed, the Financial Times reported that Apple sent letters to around 40 ex-employees now working for OpenAI, demanding they preserve documents and communications and meet with Apple attorneys. Roughly 400 former Apple employees now work at OpenAI.