OpenAI asks judge to throw out Apple trade secrets lawsuit

OpenAI has asked a federal judge to dismiss Apple’s trade secrets lawsuit, calling the allegations “meritless.” The dispute centers on former Apple employees, alleged confidential documents, and OpenAI’s hardware development plans.

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◄ Terminator 1 Idiocracy 0 ►

The story is mainly a legal business dispute, with only a mild Terminator lean from alleged trade-secret use in AI hardware development.

OpenAI asks judge to throw out Apple trade secrets lawsuit

OpenAI is pushing back against Apple’s trade secrets lawsuit with a request for dismissal, arguing that the case should not move forward. The ChatGPT maker says Apple has stretched ordinary employee activity and broad product-development information into accusations of theft.

The filing turns the dispute into a direct fight over how Apple has framed the case. OpenAI says Apple’s allegations are “meritless,” and it argues that the complaint mischaracterizes both what employees did and what information Apple claims was protected.

What OpenAI Is Asking The Court To Do

OpenAI has asked a federal judge to toss out Apple’s lawsuit. In a motion filed yesterday, the company argues that Apple’s complaint does not support the trade secrets claims it is trying to bring.

According to OpenAI, Apple is treating “generic” product development information as “trade secrets.” OpenAI also says Apple did not make reasonable efforts to keep that information secret.

That point matters because the case depends on whether the material Apple identifies can properly be treated as confidential trade secret information. OpenAI’s response is that Apple has not shown enough to justify that framing.

Why Apple Sued

Apple filed the lawsuit in July. Its complaint alleges that former Apple employees who later went to work for OpenAI stole confidential documents to further OpenAI’s hardware development plans.

The case focuses not only on documents, but also on movement of talent between the two companies. Apple’s allegations describe former employees as having taken protected information with them. OpenAI says that version of events is wrong.

One example in OpenAI’s dismissal request involves Chang Liu, a former Apple staffer now working for OpenAI. Apple accuses Liu of downloading confidential files from Apple after leaving the company. OpenAI says Liu was helping former colleagues who asked him for assistance.

OpenAI’s Broader Rebuttal

The court filing follows a blog post OpenAI published on Tuesday titled “Apple is getting this wrong.” In that post, OpenAI described the lawsuit as “careless, aggressive, and oddly personal.”

Several of those arguments now appear in more formal legal language. OpenAI says Apple’s case is poorly investigated and relies on selective or out-of-context communications. The filing also describes the lawsuit as “rotten to its core.”

OpenAI’s position is that Apple is turning employee departures and normal competitive hiring into a trade secrets case. In the filing, OpenAI says:

“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,”

The company also argues that its work is separate from Apple’s. OpenAI says it is “building something entirely new and different from anything at Apple.”

OpenAI further says it has an interest in hiring strong engineers, inventors, developers and creators. The filing says many of those people have left Apple for OpenAI because they were attracted by the work OpenAI is doing.

What Happens Next

The judge is set to hear arguments on the motion on October 1st. That hearing will address OpenAI’s request to dismiss Apple’s complaint.

Apple is also seeking a preliminary injunction. On Monday, Apple asked the court to prevent OpenAI and the employees named in the complaint from accessing, acquiring, using, or disclosing alleged confidential information while the lawsuit continues.

For now, the dispute is moving on two tracks. OpenAI wants the case dismissed before it advances further. Apple, meanwhile, wants limits placed on OpenAI and the named employees while the lawsuit is pending.

The outcome of the dismissal request will shape how much of Apple’s trade secrets lawsuit survives. If the judge accepts OpenAI’s argument, Apple’s case could be narrowed or thrown out. If not, the fight over alleged confidential documents, employee conduct, and OpenAI’s hardware development plans will continue.