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Apple’s lawsuit isn’t expected to deter OpenAI’s hardware ambitions

OpenAI is pushing forward with plans to launch AI hardware by 2027 despite a lawsuit from Apple accusing the company and two former employees of stealing trade secrets. The legal battle, centered on OpenAI's acquisition of Jony Ive's hardware startup io Products, could force changes to the rumored device but has not yet deterred OpenAI's ambitions.

read2 min views1 publishedJul 13, 2026
Apple’s lawsuit isn’t expected to deter OpenAI’s hardware ambitions
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Jul 13, 2026 — 12:46 PM ET

  • OpenAI may continue pushing for the launch of its AI hardware next year, despite legal challenges from Apple.
  • The iPhone maker has accused OpenAI and two former company employees of stealing trade secrets.
  • This legal battle could significantly hinder OpenAI’s development of the rumored AI product.

OpenAI’s plans to launch its own hardware received a setback following news that Apple is suing the AI juggernaut over allegations of intellectual property theft. But if a trusted source is to be believed, this hasn’t hindered OpenAI’s plans for AI-based hardware, at least for now.

According to Bloomberg’s Mark Gurman on X, the company “still believes” there’s a path to announce this mystery device by this year and potentially bring it to market in 2027. However, Gurman notes that this may change as OpenAI deals with a potentially lengthy legal battle with Apple.

At the center of Apple’s lawsuit is io Products, design legend Jony Ive’s hardware startup, which was acquired by OpenAI last year. Also involved are two former Apple employees, who have been accused of stealing sensitive trade secrets and taking them to OpenAI. Apple claims OpenAI, along with the former staffers, participated in a coordinated effort to gather information on product development, suppliers, and other crucial details to accelerate plans for new AI hardware.

We still don’t quite know what hardware OpenAI will end up releasing, but all signs point to a smartphone being part of that plan. Reports of the company potentially launching a pen have emerged in the past.

Additionally, it has been suggested that the company may take a page out of Google’s playbook and develop custom smartphone chips with the likes of MediaTek and Qualcomm.

From Apple’s perspective, this lawsuit will definitely slow the development of OpenAI’s mystery hardware. If the allegations are proven, OpenAI may be forced to drastically change and restructure its rumored AI device. While little is known about the device itself, past reports have highlighted some challenges that have arisen along the way. This news comes after a May report suggested that OpenAI may take legal action against Apple over the lack of deeper integration in iPhones. Meanwhile, Apple has already confirmed that Gemini will be part of this year’s Siri upgrade. These factors, coupled with Apple’s recent lawsuit against OpenAI, indicate that there’s no love lost between the two giants of the tech industry.

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