Trade Secret Theft Lawsuit
Apple alleges a former engineer stole confidential trade secrets for OpenAI hardware projects.
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Key Points
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Timeline of confidential material access and use: Liu downloaded the confidential circuit schematic from Apple’s third-party cloud on March 7, 2026 after leaving Apple in January, then used that file on March 18, 2026 to run an LTspice simulation under the Chang Liu profile, generating at least three output files that were uploaded to his iCloud and later synced to his MacBook on April 11, 2026.
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Direct quotes illustrating AI-assisted hardware work: Liu described being AI-focused and said his AI 'agent learned how to run LTspice, look at result, tune compensation parameter,' while noting that tasks were previously slower, underscoring the integration of AI tooling with circuit development.
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Continued access to Apple cloud storage: Apple contends Liu and others at OpenAI were aware of and continued to access Apple’s third-party cloud storage to download sensitive engineering documents and unreleased product specifications into early April 2026.
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Destruction of evidence: The filings allege that after learning of Apple’s internal investigation, Liu sent instructions for destroying evidence to an OpenAI colleague who reportedly agreed to comply.
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Internal Apple tool naming: Liu used a development tool at OpenAI that has the same name as an internal Apple engineering application used for Apple development work, pointing to cross-pollination of tooling between Apple and OpenAI.
Apple has escalated its legal battle with OpenAI, alleging that the AI company destroyed evidence and misused confidential hardware designs stolen by former engineer Chang Liu. Web Pro News reports that Liu, who joined OpenAI in January 2026, kept an Apple-issued MacBook and downloaded a confidential power-converter circuit schematic from Apple's cloud storage in March 2026 to run simulations for OpenAI projects.
Apple contends that Liu and others at OpenAI exploited an authentication vulnerability to access sensitive engineering documents and unreleased product specs. MacDailyNews reports that Liu sent instructions to destroy evidence after learning of Apple's investigation, and that he used a development tool at OpenAI matching the name of an internal Apple engineering application, pointing to widespread trade-secret theft involving hundreds of former Apple employees now working at OpenAI.
How Liu Downloaded and Used Apple's Circuit Design
On March 7, 2026, Chang Liu accessed Apple's third-party cloud storage and downloaded a confidential circuit schematic despite no longer working at the company. Whale's Book states that eleven days later, on March 18, Liu ran an LTspice simulation using that Apple file under his Chang Liu profile at OpenAI, generating at least three output files that were later uploaded to his personal iCloud account.
Liu then synced those files to his Apple-issued MacBook on April 11, 2026. In messages cited by Apple's filings, Liu described how his AI "agent learned how to run LTspice, look at result, tune compensation parameter," showing that OpenAI integrated AI tools directly into circuit development work for its hardware projects.
Evidence Destruction Allegations and Internal Tool Crossover
After Apple began investigating Liu, forensic findings show he attempted to destroy evidence. Head Topics reports that Liu sent instructions to an OpenAI colleague asking them to delete materials, and the colleague agreed to comply. This destruction effort came weeks after Liu continued accessing Apple's cloud storage into early April 2026 to download additional sensitive engineering documents and unreleased product specifications.
Apple also discovered that Liu used a development tool at OpenAI bearing the exact same name as an internal Apple engineering application. AOL reports this points to deeper cross-pollination of Apple's proprietary tooling and systems between the two companies, suggesting a systematic pattern rather than isolated misuse.
Apple Seeks Expedited Discovery and Hardware Context
Apple is urging the court to fast-track evidence collection, including early depositions of key OpenAI personnel, to prevent further disclosure of confidential information. Web Pro News notes that Apple framed the case within OpenAI's hardware ambitions linked to its io Products deal and a $6.5 billion acquisition, showing this lawsuit connects to OpenAI's push into physical devices.
Apple also named Tang Tan as involved in problematic recruitment practices. The filings assert a widespread pattern of trade-secret exfiltration involving hundreds of former Apple employees now at OpenAI or io Products, suggesting this is not about one engineer's actions but a coordinated talent pipeline that carried sensitive company knowledge.
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