Apple asks a federal court to block OpenAI from using stolen trade secrets and hardware designs to build competing AI devices.
Tech giant Apple has asked a federal judge to issue a preliminary injunction against ChatGPT creator OpenAI, attempting to block the artificial intelligence firm from using confidential trade secrets and hardware designs stolen by former Apple workers. The legal motion, filed on Monday, August 4, 2026, escalates a major court battle between the two companies as OpenAI aggressively tries to build its own physical consumer devices.
The legal action unfolded in the United States District Court for the Northern District of California, following Apple’s initial lawsuit against OpenAI, its hardware division io Products, and two former senior Apple employees. Alongside the injunction request, Apple filed a concurrent motion demanding expedited discovery, asking the judge to order immediate document production and force key personnel, including former Apple design executive Tang Yew Tan and senior engineer Chang Liu, to sit for formal legal depositions.
To understand why this legal fight is exploding now, look at how the battle for future artificial intelligence hardware is taking shape. While Apple and OpenAI previously partnered to connect ChatGPT to iPhone software, OpenAI has spent billions expanding into physical hardware by hiring away hundreds of key Apple designers and engineers. Apple discovered that departing workers allegedly downloaded thousands of pages of secret technical blueprints, product presentations, and unreleased hardware designs before leaving for OpenAI. Internal evidence showed one engineer even accessed Apple’s private network storage after leaving, downloading sensitive documents regarding unreleased gadgets.
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Apple argues that allowing OpenAI to use these stolen technical secrets gives the AI firm an illegal shortcut to build competing consumer hardware, threatening to cause irreversible damage to Apple’s business. In response, OpenAI denied all wrongdoing in a public update, claiming that Apple’s legal requests rely on false assumptions and insisting that the company has no interest in using outside trade secrets. As both companies prepare for intense legal proceedings, the California court must decide whether to freeze OpenAI’s hardware developments while judges review the evidence, setting up a high-stakes standoff over who will control the next generation of smart AI devices.

