Source: Reuters

 

On July 21, 2025, the U.S. District Court for the Northern District of California issued a ruling in favor of OpenAI Inc., in its trademark dispute against Open Artificial Intelligence Inc. (OAI) and its founder, Guy Ravine. The court granted summary judgment, canceling OAI’s trademark registration for “Open AI” and permanently barring Ravine and his company from using the name or any confusingly similar mark. Judge Yvonne Gonzalez Rogers found that OAI’s trademark claim was invalid due to deceptive practices during the registration process.

The court established that OAI and Ravine had misled the U.S. Patent and Trademark Office (USPTO) by submitting false specimens to demonstrate the use of the “Open AI” mark. Judge Rogers noted that the submitted examples included references to a product that did not exist at the time of the trademark application. The ruling indicated that OAI’s actions constituted fraudulent procurement, which, combined with minimal actual use of the mark, warranted the cancellation of its trademark registration.

In addressing OpenAI’s trademark rights, the court determined that the name “OpenAI” had acquired secondary meaning by November 2022, supported by extensive press coverage and a substantial user base following the launch of its products, such as ChatGPT and DALL·E 2. The judge highlighted that the overwhelming evidence demonstrated consumer association of the OpenAI mark with the company, thereby reinforcing its validity and providing grounds for infringement claims against OAI.

The court also considered the potential for consumer confusion arising from OAI’s use of a similar mark. It was established that Ravine’s subsequent entry into the AI tools market, launching products under the “Open AI” name, was likely to mislead consumers, constituting trademark infringement. Consequently, the court ruled that OAI’s continued use of the mark was not permissible.

In response to the ruling, OpenAI expressed gratitude for the court’s decision, emphasizing its commitment to protecting its brand and preventing confusion among users. Meanwhile, OAI’s legal counsel announced intentions to appeal the decision, asserting that they would pursue all available avenues to contest the ruling.