Apple sues OpenAI, accuses ex-employees of stealing trade secrets

> OpenAI also instructs new hires on how to avoid scrutiny when they leave Apple. For example, Mr. Tan warns them not to tell Apple that they have taken jobs at OpenAI, so they can stay at Apple as long as they can.

> Apple says it discovered a pattern of OpenAI recruits emailing themselves confidential information when leaving Apple, including Tan.

> OpenAI apparently used confidential Apple hardware information when approaching Apple suppliers, and tricked one company into using a "specific trade secret metal-finishing technique" for an OpenAI device by claiming it had Apple's permission to do so.

> Liu allegedly kept an Apple-issued laptop after departing the company and exploited a vulnerability to download dozens of confidential Apple documents while he was working at OpenAI.

Non-competes and the like are gross but what's described here isn't just "bring your expertise to OpenAI" it's "here is how to steal secrets on your way out" which is even grosser.

Discovery is going to be great fun (for Apple).

https://storage.courtlistener.com/recap/gov.uscourts.cand.47...

9. In the months before he left Apple, Mr. Tan met with OpenAI or its collaborators and discussed meetings with a key Apple supplier. He began emailing himself information about Apple’s suppliers and internal summaries of the consumer electronics industry. And today, when interviewing Apple employees for jobs at OpenAI, Mr. Tan uses Apple’s confidential information to gain access to even more insider knowledge. He has used an Apple internal project codename to ask, “What’s the plan[?]” for an unannounced Apple product. He has directed job candidates still working for Apple to bring “Actual parts” from Apple to their interviews for “show and tell” sessions in which he and his team at OpenAI can elicit still more Apple confidential information. These directions to bring Apple’s parts to OpenAI job interviews surprised at least one of the candidates, who commented that he “didn’t even know we could take those from the office.”

10. This is part of OpenAI’s strategy to extract Apple’s confidential information. OpenAI has been instructing Apple employees to bring “CAD/design artifacts” and “prototypes” to their interviews and to divulge details about their work such as “subsystem and component selection,” the “tools or methodologies you use for system integration, such as CAD software, simulation tools,” and “Vendor selection and communication/collaboration with vendors.”

11. OpenAI also instructs new hires on how to avoid scrutiny when they leave Apple. For example, Mr. Tan warns them not to tell Apple that they have taken jobs at OpenAI, so they can stay at Apple as long as they can. After his own departure, Mr. Tan improperly retained or obtained an internal Apple managers’ document marked “Need to Know” that describes security procedures for employee departures. Messages left on Apple-issued work devices show that Mr. Tan and his OpenAI colleagues have been sharing this document with new hires before they give notice to Apple of their departures, previewing Apple’s security protocols. Unsurprisingly, Apple’s investigation has found a pattern by employees who depart for OpenAI of taking steps to evade the security processes intended to protect Apple’s confidential information.

These people think OpenAI can/will protect them?

Only because both companies have access to billions and infinite lawyers.

Who is surprised by this development?

https://storage.courtlistener.com/recap/gov.uscourts.cand.47...

9. In the months before he left Apple, Mr. Tan met with OpenAI or its collaborators and discussed meetings with a key Apple supplier. He began emailing himself information about Apple’s suppliers and internal summaries of the consumer electronics industry. And today, when interviewing Apple employees for jobs at OpenAI, Mr. Tan uses Apple’s confidential information to gain access to even more insider knowledge. He has used an Apple internal project codename to ask, “What’s the plan[?]” for an unannounced Apple product. He has directed job candidates still working for Apple to bring “Actual parts” from Apple to their interviews for “show and tell” sessions in which he and his team at OpenAI can elicit still more Apple confidential information. These directions to bring Apple’s parts to OpenAI job interviews surprised at least one of the candidates, who commented that he “didn’t even know we could take those from the office.”

10. This is part of OpenAI’s strategy to extract Apple’s confidential information. OpenAI has been instructing Apple employees to bring “CAD/design artifacts” and “prototypes” to their interviews and to divulge details about their work such as “subsystem and component selection,” the “tools or methodologies you use for system integration, such as CAD software, simulation tools,” and “Vendor selection and communication/collaboration with vendors.”

11. OpenAI also instructs new hires on how to avoid scrutiny when they leave Apple. For example, Mr. Tan warns them not to tell Apple that they have taken jobs at OpenAI, so they can stay at Apple as long as they can. After his own departure, Mr. Tan improperly retained or obtained an internal Apple managers’ document marked “Need to Know” that describes security procedures for employee departures. Messages left on Apple-issued work devices show that Mr. Tan and his OpenAI colleagues have been sharing this document with new hires before they give notice to Apple of their departures, previewing Apple’s security protocols. Unsurprisingly, Apple’s investigation has found a pattern by employees who depart for OpenAI of taking steps to evade the security processes intended to protect Apple’s confidential information.

The word "coaching" is very malleable, and could refer to perfectly legal conduct, or conduct that is illegal, unethical, or both. How would an OpenAI employee know what Apple's security processes for departing employees are? One would assume he was told by previously-departed Apple employees. Would they have been forbidden to disclose information about the outgoing process? I would think so, given how careful Apple is about these things.

> Apple accused another former employee, Chang Liu, of using a former colleague’s Apple-owned laptop to access and download technical documents while working at OpenAI. Mr. Liu told that Apple employee what information about unannounced products she should study before job interviews, Apple said.

I would be very hesitant to assist a former colleague who is still at Apple in this way. Apple is well known for using deliberate leaks to smoke out leakers, and it would be easy for them to get a current/loyal employee to go through the interview process at a competitor for the purpose of finding out if the competitor is trying to get Apple employees to act unethically/illegally.