OpenAI Denies Apple's Trade Secret Lawsuit Over Hardware Talent Poaching

OpenAI has formally denied Apple's trade secret theft lawsuit in a California federal court, stating that Apple failed to prove any confidential information was misappropriated. OpenAI argued that Apple's legal action is an attempt to limit employee mobility and slow down competitors as OpenAI expands into consumer hardware. This dispute marks a sharp escalation in tension between Apple and OpenAI, shifting their relationship from partners to direct competitors in AI consumer hardware. It also highlights California's legal protections surrounding employee mobility, which allow workers to move freely between competing tech firms. OpenAI has recruited approximately 400 Apple employees for its hardware projects, including high-profile executives Tang Tan and Chang Liu. OpenAI countered Apple's allegations by noting that Apple encouraged employees to use personal iCloud accounts for work, making file separation upon departure difficult, while the accused former employees stated they returned prototype hardware and only accessed files to assist former colleagues.