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Why has Apple sent preservation letters to OpenAI employees? All we know about trade-secret lawsuit

Apple has formally requested that 40 former employees at OpenAI retain relevant documents amid a trade-secret lawsuit against the AI company.

Published on: Jul 17, 2026, 19:57:15 IST
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Apple's legal team has dispatched preservation letters to approximately 40 former employees currently employed at OpenAI, instructing them to retain documents and communications related to their tenure at Apple and their subsequent departure, according to a new report.

Apple has sent preservation letters to about 40 former employees at OpenAI, requiring them to retain documents linked to their time at Apple. This follows Apple's trade-secret lawsuit against OpenAI for allegedly stealing confidential hardware plans. (AP )
Apple has sent preservation letters to about 40 former employees at OpenAI, requiring them to retain documents linked to their time at Apple. This follows Apple's trade-secret lawsuit against OpenAI for allegedly stealing confidential hardware plans. (AP )

This action, as per the Financial Times, comes roughly a week after Apple initiated its trade-secret lawsuit against OpenAI, io Products, and two identified former Apple engineers, Chang Liu and Tang Tan, for stealing secret hardware plans.

Here's what Apple complaint says

Apple's complaint reveals that more than 400 people who previously worked for Apple are now part of OpenAI. The 40 letters are addressed to individuals who are not named as defendants.

As a result, this places each of them under a personal obligation to document relevant information before the formal discovery process begins, thereby securing evidence and creating a legal-hold obligation on any hardware work that OpenAI is currently engaged in.

OpenAI and Apple are yet to issues any statement in this regard.

Also Read: Apple set to overtake Google as world's second-most valuable company: What's driving the surge?

Why has Apple taken such move?

The move to send personal legal letters to employees underscores Apple's assertive strategies, following its recent initiation of a significant lawsuit against OpenAI and two of its employees for allegedly misappropriating confidential hardware designs.

This confrontation arises as the creator of ChatGPT collaborates with the former chief designer of the smartphone company to create its own devices.

In its legal documents, Apple asserted that the evidence it presented was merely the "tip of the iceberg" concerning the purported actions of OpenAI. The AI laboratory has responded by stating that, while it takes the claims seriously, it is unaware of “any evidence that the complaint has merit.”

OpenAI stated that it had “no interest” in the trade secrets of other firms.

Apple vs. OpenAI

The lawsuit represented a significant deterioration in the relationship between two prominent entities in Silicon Valley, resulting in a substantial legal challenge for the start-up as it gears up for its eagerly awaited initial public offering (IPO).

Apple's legal action asserts that OpenAI's entire hardware division is jeopardized due to the misappropriation of trade secrets, resulting in legal challenges for its ambitions to introduce its own range of AI devices.

The two firms have previously collaborated to incorporate OpenAI's technology into Apple's voice assistant, Siri. However, Apple has since allied with Google for its latest functionalities, utilizing Google's models as the basis for its ChatGPT-like voice and text assistant launched in June.

  • Shweta Kukreti
    ABOUT THE AUTHOR
    Shweta Kukreti

    Shweta Kukreti has over 8 years of experience in covering Indian and world politics. She joined the Hindustan Times in 2024 and is primarily assigned to the US desk. She currently works as Deputy Chief Content Producer and reports on a wide range of topics, including US politics, immigration issues (especially H-1B visa) and major global events. Shweta strongly emphasizes team operations, which encompasses monitoring news, delegating tasks, editing, developing comprehensive coverage strategies, and crafting engaging, and data-informed narratives. She received the Digi Star Award at the Hindustan Times within a year of joining for her broad coverage of US politics. In 2025, she earned both a promotion and a redesignation, a significant achievement recognising her contributions and the strong value she brings to the team. She has previously worked with the Indian Express, HTDS, ANI and Republic World. Seniors in all the media organisations recognised her work. Regarding education, she earned a BA (Hons.) in Political Science and a master's degree from Delhi University, and she pursued a PG Diploma in English Journalism from the Indian Institution of Mass Communication (IIMC). She also holds a diploma in Women's Empowerment and Development from IGNOU University and a French certification course from Alliance Française de Delhi. If not working, you can find her exploring the hills and engaging in adventurous activities in Rishikesh and Himachal Pradesh. She loves to play badminton, volleyball, and chess, and spend time with her friends and family. She also enjoys spiritual activities.Read More

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