Apple has presented new evidence in its ongoing trade secrets lawsuit against OpenAI, alleging that former employee Chang Liu utilized confidential hardware schematics and enlisted a colleague to destroy digital trails. The revelations stem from a forensic investigation of Liu's old Apple MacBook, which was surrendered by his legal counsel earlier this month.
The MacBook Findings & Allegations
The newly filed court documents claim Liu used an internal Apple engineering application and a confidential circuit schematic for his work at OpenAI. Apple asserts that OpenAI leadership was fully aware of Liu's unauthorized access to these trade secrets.
Furthermore, the filing accuses Liu of collaborating with Yu-Ting Peng, another OpenAI employee, to destroy evidence in June after learning he was under investigation. Apple stated the laptop contents prove its claims are not a "fishing expedition" and demonstrate that evidence is actively being destroyed.
Apple has aggressively pursued internal data theft in recent years. In March 2021, the company sued former design architect Simon Lancaster. Lancaster first contacted a media correspondent in November 2018, ultimately sharing details of unreleased hardware and future product announcements. He also downloaded confidential documents just before leaving Apple in November 2019 to assist his new employer, Arris Composites. A judge recently approved a settlement requiring Lancaster to pay an undisclosed sum.
The Access Dispute
The core of the technical dispute centers on how Liu retained access to Apple's network. In an earlier blog post, OpenAI defended Liu, claiming he merely utilized "residual access" to assist former colleagues. OpenAI blamed Apple for failing to properly manage system access when employees depart.
Apple countered these claims, stating Liu deliberately exploited a "rare, previously unknown authentication bug" to maintain his connection. Previous court filings included text messages from Liu, which he punctuated with “crying laughing” emojis, showing he was aware that he still had access to Apple files.
Experts note that insider threats are a pervasive industry issue. According to a 2018 Insider Threat Intelligence Report from Dtex Systems, 38% of assessments found evidence of employees exhibiting flight-risk behaviors. Dtex Systems CEO Christy Wyatt stated that such criminal complaints are "proof of how easy it is for anyone with privileged access rights to steal confidential data from their employers".
Legal Ramifications
Apple is currently seeking a preliminary injunction to prevent OpenAI from developing hardware based on the disputed technology. The company has also requested expedited discovery to gather evidence quickly, suspecting other former employees might be involved. According to Apple’s initial filing, more than 400 former Apple employees now work at OpenAI.
OpenAI is facing similar allegations from other competitors. Elon Musk's xAI recently filed a federal lawsuit in California against former senior engineer Xuechen Li. The complaint alleges Li stole a "trove of confidential information" related to the Grok AI model in July before accepting a job at OpenAI and selling approximately $7 million in xAI stock. Li allegedly confessed to stealing company files and attempting to cover his tracks during an August 14 meeting with xAI executives.
This case highlights ongoing industry battles over proprietary data, echoing past incidents where Apple employees were accused of stealing trade secrets for autonomous vehicle startups like XMotors and Jidu Automotive. In one high-profile case, former Apple autonomous vehicle hardware engineer Xiaolang Zhang was charged with stealing trade secrets. FBI special agent Eric M. Proudfoot filed the criminal complaint on July 9, noting that Zhang's network activity had increased exponentially just days before he returned from paternity leave on April 30, 2018, and subsequently resigned to join XMotors.