OpenAI and Jony Ive Pause Trademark Lawsuit with iyO Over 'io' Name

A U.S. district court granted a seven‑day stay in the trademark lawsuit filed by iyO, a Google‑spun‑out, against OpenAI and designer Jony Ive. The parties reported that they have reached a settlement in principle and asked the court to pause proceedings while finalising the agreement. The hearing scheduled for July 28 was vacated and the case was reset for September 8, with the stay lifting on August 6. By that date the parties must either file a request for dismissal or a joint status report, after which the case will be terminated.

The dispute began after OpenAI announced it would acquire Jony Ive’s startup io Products to develop new AI hardware. iyO claimed that the “io” name infringed its own trademark for smart hearing devices and later added trade‑secret allegations, arguing that an io Products co‑founder had obtained confidential information. The parties now appear to be moving toward a settlement, pausing the litigation pending final details.