Apple urges court to reject OpenAI motion to dismiss

Apple has escalated its legal battle against OpenAI by filing a 32-page response that sharply criticizes the artificial intelligence startup's attempts to dismiss the case. The dispute centers on allegations that OpenAI systematically targeted former Apple employees to exfiltrate highly confidential product information and manufacturing processes. Apple previously demanded that approximately 40 OpenAI employees preserve all relevant documents and communications connected to the trade secrets lawsuit.

The latest filing focuses on the actions of specific individuals, including former Apple employee Chang Liu and OpenAI hardware chief Tan Yew Tan. Apple alleges that OpenAI deceived its manufacturing partners to obtain proprietary process technology. In response, OpenAI argued that Apple failed to clearly define its protectable trade secrets and failed to secure them properly. Apple's new filing dismisses these arguments, asserting that OpenAI is improperly trying to resolve factual disputes during the motion-to-dismiss phase rather than waiting for the discovery process.

Apple also rejected the notion that it must detail its trade secrets in public court documents, arguing that doing so would compromise the very intellectual property it seeks to protect. The iPhone maker noted that even if it blocked OpenAI's access to the data before filing the suit, this does not resolve OpenAI's ongoing possession and potential use of the stolen materials. Apple's legal team argued that the extreme measures OpenAI took to acquire the information prove its immense value.

For AI practitioners and industry executives, this high-profile conflict highlights the growing legal risks surrounding talent acquisition and intellectual property in the generative AI race. As companies compete fiercely for hardware and software talent, aggressive recruiting practices that cross into proprietary data sharing face severe legal pushback. Organizations must implement strict data-access controls and robust offboarding procedures to prevent departing employees from carrying sensitive trade secrets to competitors, especially as OpenAI faces similar IP theft allegations from rivals like Elon Musk's xAI.