OpenAI has agreed not to use trade secrets that Apple claims were stolen while the two companies fight it out in court. The concession came at a federal hearing on Wednesday, where the judge said he was “highly likely” to side with Apple and issue an injunction.
The agreement was reported by Bloomberg. It was a voluntary move, and US District Judge Edward Davila will have the power to enforce it. The deal also requires OpenAI to collect forensic images of devices belonging to 14 employees that may contain Apple’s confidential information.
The hearing covered Apple’s injunction request and OpenAI’s motion to dismiss
The Wednesday hearing was set to take up OpenAI’s motion to dismiss and Apple’s request for a preliminary injunction, according to Bloomberg Law. Apple’s injunction request asks the court to bar OpenAI and two former Apple employees from using the alleged trade secrets.
Apple sued OpenAI, io Products and former employees Chang Liu and Tang Yew Tan on July 10, accusing them of using confidential Apple information to help OpenAI build consumer hardware. OpenAI has said from the start that it has no use for Apple’s trade secrets, and it has asked the court to dismiss the case.
OpenAI calls the lawsuit a pretext to make up for Apple’s trouble retaining talent. It has also argued that Apple did not manage access cleanly when employees left the company.
The agreement follows an order giving Apple early access to OpenAI’s evidence
On Tuesday, Davila granted part of Apple’s request for early discovery. His order covers forensic images of devices, summaries of interviews with Apple candidates, and messages between Liu and Yu-Ting “Alyssa” Peng on the LINE messaging app. Liu, Peng and Tan must also sit for depositions.
The judge denied early access to OpenAI documents on metal finishes, power management and battery functionality for consumer hardware, and sent those requests to ordinary discovery. Our report on the discovery ruling lists everything the order covers.
The case is number 5:26-cv-07078 in the US District Court for the Northern District of California.
Our Take
OpenAI has said from the start that it has no use for Apple’s trade secrets, so promising not to use them costs it little. The forensic imaging of 14 employees’ devices is the important next step, since that is what Apple needs to test its claims. The injunction itself is still the bigger decision.