Sam Altman Slams Trademark Lawsuit Over 'io' As 'Silly' And 'Disappointing' After OpenAI Scrubs Jony Ive Deal From Website Under Judge's Order

OpenAI CEO Sam Altman dismissed a trademark lawsuit filed by hardware startup Iyo as “silly” and “disappointing” after a judge ordered ChatGPT-parent to remove references to its collaboration with Apple Inc. AAPL designer Jony Ive.

What Happened: Iyo, a startup led by Jason Rugolo, sued OpenAI for trademark infringement earlier this month, claiming the company's use of the name "io" for a new venture with Ive could confuse consumers and damage its brand.

The lawsuit follows OpenAI's May announcement that it was teaming up with Ive to launch an AI hardware project reportedly valued at $6.4 billion.

A federal judge granted Iyo a temporary restraining order barring OpenAI and its affiliates from using the name "io."

OpenAI has since removed the announcement from its website, replacing it with a note that says the page is "temporarily down due to a court order following a trademark complaint."

Altman posted emails from Rugolo on X, suggesting Iyo had previously pushed for OpenAI to invest or buy the company. This lawsuit is "silly, disappointing and wrong," Altman wrote.

Rugolo responded on X, stating, "I won’t fight you guys in public, and honestly just think it’s super bad form for someone like you to be coming after me like this."

In another post, he said his communications with Altman date back to 2022, when he first pitched his startup to Apollo Projects. "This particular email from Sam was probably the worst email I’ve ever received in my professional life," he posted on X.

Why It’s Important: The $6.5 billion acquisition represented OpenAI's boldest move yet into the AI hardware space. Ive, celebrated for his work on iconic devices like the iPhone and MacBook, is at the center of the effort.

After the acquisition was announced, Gene Munster, managing partner at Deepwater Asset Management, remarked that OpenAI now represents the most significant competitive challenge Apple has faced in the past two decades.

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