[News] Apple Reportedly Deploys $200K–$400K Four-Year Bonuses to Defend Against OpenAI Talent Raids
Apple is reportedly offering bonuses to retain its iPhone designers as AI firms such as OpenAI step up talent poaching. According to Bloomberg, sources say the company has granted rare bonuses to iPhone hardware engineers this week to curb departures to AI startups developing their own devices.
As the report notes, the bonuses are issued as stock units that vest over four years, meaning employees must stay at Apple to realize their full value. In many cases, these awards, separate from regular compensation, are worth roughly US$200,000 to US$400,000 over the vesting period, with final payouts potentially higher depending on Apple’s stock performance.
Employees see the pay increases as a direct response to a recent uptick in startup recruiting. That said, as the report notes, the bonuses remain well below what companies such as OpenAI are offering, with some firms reportedly granting Apple engineers stock packages valued at around US$1 million per year.
As the report further notes, OpenAI’s hardware division is partly led by Apple veteran Tang Tan, who previously headed iPhone product design. His team has recruited several dozen Apple engineers, not only from the iPhone group but also from teams working on the iPad, Apple Watch, and Vision Pro. The report adds that OpenAI has also brought in former Apple design chief Jony Ive to help develop a new generation of AI-focused products.
Startups Target Apple Talent in Race to Build Post-iPhone AI Devices
Startups pursuing AI hardware development are increasingly targeting Apple talent. As the report notes, Figure AI founder Brett Adcock has outlined plans for a new AI device company, Hark. The firm’s lead designer, Abidur Chowdhury, previously worked on the iPhone Air, while the startup has also recruited Apple product design engineers Jack McCambridge and Alex Gould.
Talent poaching is intensifying amid a broader push to develop next-generation AI hardware. As the report highlights, OpenAI and Hark are building families of AI devices aimed at replacing the iPhone as consumers’ primary hardware. Meanwhile, Apple is working to counter this shift with its own lineup of AI-driven products, including smart glasses, new AirPods, and a pendant equipped with Siri and computer vision capabilities.
AI Talent Competition Intensifies with OpenAI Expansion
Amid intensifying competition for talent, the ChatGPT maker is also accelerating hiring. According to Reuters, citing Financial Times, sources say OpenAI plans to nearly double its workforce to around 8,000 by the end of 2026, up from roughly 4,500 today.
The hiring push extends beyond Apple talent. As reported by the Wall Street Journal, OpenAI has recruited Dave Dugan, a former senior advertising executive at Meta Platforms, to lead ad sales as it seeks to deepen ties with major advertisers.
At the same time, Meta is increasing compensation for top executives, including introducing stock option packages for the first time, as it looks to retain leadership and remain competitive in the intensifying AI race, according to Reuters.
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