OpenAI's plans to build and sell an AI device undeniably hit a bump in the road this month when Apple filed a lawsuit against the ChatGPT maker, alleging that former Apple employees stole trade secrets when they left Apple to join OpenAI. But if OpenAI isn't careful, it's going to have much bigger problems to deal with.
Imitation is the sincerest form of flattery that mediocrity can pay to greatness, as the expression goes. But when does copying, a time-honored tradition among tech companies, cross the line? According to Apple's new lawsuit, that's happening now. Specifically naming Apple's former 24-year hardware chief Tang Tan and software engineer Chang Liu in the lawsuit, Apple claims OpenAI "wrongfully took Apple's secret and confidential information."
The lawsuit alleges impropriety by these job-hoppers. But beyond those claimed contract violations, the underlying concern is that OpenAI will use Apple's secret sauce -- manufacturer contacts, specs, strategies -- when creating its own piece of AI hardware. One that, in a worst-case scenario for Apple, could eventually become a competitor to the iPhone.
Apple's lawsuit is yet another problem on top of a mountain of them. In addition to proving it didn't steal from Apple, OpenAI already had a tough task: Prove whatever gadget it's made is safe, useful and worthy of our hard-earned cash. As we've seen so far with other AI devices, public reaction ranges from indifference to outrage. And OpenAI has staked a lot on the possibility of creating a tangible product.
OpenAI's hardware ambitions
OpenAI got serious about the idea of an AI device in 2025, accelerating its plans and public image with the acquisition of io Products, led by famed former Apple designer Jony Ive. With credentials like designing the iPhone, MacBook and Apple Watch, Ive's partnership with OpenAI CEO Sam Altman set the tone for what to expect.
OpenAI CEO Sam Altman (right) and Jony Ive (left). OpenAI
There's a good reason OpenAI seems to be recruiting former Apple employees to bolster its hardware research and development. From the Cupertino company's inception, founder Steve Jobs insistently and creatively blended form and function, creating an iconic style that prioritized user experience and simplicity. Apple's design style has helped the company revolutionize entire categories of technology, from the iPhone paving the way for smartphones to the first iPad as the first mainstream tablet.
Reports from the beginning of Ive and OpenAI's partnership describe their ideal device as a kind of "third" gadget that can sit alongside your phone and computer. The most recent report of how that could shape up is a kind of portable, screen-free smart speaker with a "humanlike" personality. The screenless part seems important to Altman and Ive, coming up in multiple reports, with Ive reportedly wary of wearables like pins, watches and smart rings.
There could be some other devices in the family, including a device rumored in January that's worn behind your ear so you can talk with ChatGPT. There may be at least one screen in the new family of products, with a May report describing an "AI agent phone," run by the autonomous bots that are increasingly relied upon for advanced AI tasks.
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