OpenAI, Jony Ive Lose Appeal on ‘io’ Brand as Court Upholds Decision

OpenAI and Jony Ive's joint venture is going to remain nameless for a while, after a US court upheld the previous temporary restraining order (TRO) on using the name “io” for the brand. The recent development comes nearly six months after iyO, an artificial intelligence (AI) startup spun out of Google's Moonshot Factory, filed a trademark complaint. Due to phonetic similarities and similar nature of the products made by the companies, the court has agreed with the complaint and rules in favour of the plaintiff.

OpenAI, Jony Ive Venture Loses Appeal Over io Branding

According to the official documents issued on December 4 (via Daily Journal), the US Court of Appeals for the Ninth Circuit said in its ruling that it agreed with the lower court's TRO against OpenAI, its Co-Founders and partner companies over their use of “io” branding in hardware and promotional materials. The dispute arose after iyO filed a lawsuit alleging trademark infringement and likely consumer confusion.

iyO argued that despite not yet selling hardware, the high-profile announcement and advertising by OpenAI and the associated Iproducts had already caused “reverse confusion.” For the unaware, in reverse confusion, a larger and newer brand overshadows smaller senior users, leading consumers to associate the established company with the newcomer's products. The Ninth Circuit agreed that the May 2025 launch video and promotional materials constituted an advertisement sufficient for an injunction, even in absence of actual product sales.

OpenAI had argued the case was premature because no devices had been launched and marketing was not yet active. The court rejected this argument, finding that publicity alone can constitute trademark use under US law. “Trademark infringement does not require actual sale of goods or services,” the decision notes.

As a result, OpenAI and its partners are barred from using the “io” name in connection with the disputed hardware and must refrain from any branding or marketing that could violate the injunction. Promotional pages and videos originally announcing the venture have since been taken down or scrubbed from websites and social media, as previously reported.

It should be noted that the scope of the law only stops OpenAI and Ive's joint venture from using the io brand for any AI-powered voiced interface computer devices, since that is exactly the space iyO operates in. Its usage elsewhere is not protected under the TRO.