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Apple's Trade Secret Case Against OpenAI Heats Up

Judge Grants Apple Access to OpenAI Recruitment Records

A federal judge has ordered OpenAI to hand over recruitment documents to Apple, marking a significant development in Apple's trade secret lawsuit against the AI company. The ruling, issued by Judge Edward Davila, allows Apple to review materials related to OpenAI's communications with Apple employees before interviews, specifically for roles in OpenAI's consumer hardware and robotics divisions.

These applicants were reportedly targeted just before rumors surfaced about OpenAI's first hardware device. The documents could include interview lists, guidelines, scripts, technical demonstrations, and records confirming whether Apple technology or components were mentioned during interviews.

Judge Davila set a tight timeline: OpenAI must provide organized materials within 5 days and complete the remaining related materials within 14 days. He also approved Apple's access to private LINE chat records involving OpenAI employees Liu Chang and Peng Ailisa, and ordered out-of-court depositions of the two individuals and hardware chief Deng Yaotan—all of whom previously worked at Apple.

Allegations of Espionage Target Chips and Blueprints

Apple's complaint is detailed. It claims former Apple employees downloaded confidential information using company laptops, including unpublished technical specifications, engineering demonstrations, and exclusive project data. Even more, former Apple employees who joined OpenAI are accused of coaching potential leavers on what information to bring during interviews.

The backdrop: OpenAI is developing consumer hardware that could compete with the iPhone, which is the root of Apple's concern.

Some Requests Denied, But Apple Can Reapply

However, the judge did not fully approve all of Apple's requests. Apple's bid for expedited discovery of specific research materials such as metal surface treatment and power management was denied, as was its request for broader hardware research materials and output from former Apple employees after joining OpenAI.

Still, Davila left an opening—Apple can narrow the scope and reapply. This battle over trade secrets is clearly far from over.

Key Points

  • Court ruling: Judge Edward Davila approved Apple's request to obtain recruitment materials from OpenAI, focusing on communications with Apple employees before interviews.
  • Timeline: OpenAI must provide organized materials within 5 days and complete remaining materials within 14 days.
  • Depositions: Out-of-court depositions ordered for OpenAI employees Liu Chang, Peng Ailisa, and hardware chief Deng Yaotan.
  • Allegations: Apple claims former employees downloaded confidential information and coached potential leavers on what to bring to interviews.
  • Partial denial: Apple's requests for expedited discovery of specific research materials and broader hardware research were denied, but Apple can reapply with a narrower scope.