OpenAI's Jony Ive Venture Barred From Using ‘io’ Name After Court Ruling

OpenAI and designer Jony Ive’s much-talked-about hardware venture will remain without a public brand name for now. A US court has upheld a temporary restraining order (TRO) that prevents the venture from using the name “io”, dealing a setback to the high-profile collaboration.

The decision comes nearly six months after iyO, an AI startup spun out of Google’s Moonshot Factory, filed a trademark complaint. The court agreed that the name “io” is phonetically too close to “iyO” and applies to a similar product category, raising the risk of consumer confusion.

Court Rejects OpenAI’s Appeal

According to court documents issued December 4, the US Court of Appeals for the Ninth Circuit has upheld the lower court's ruling and refused to lift the temporary restraining order (TRO). This means OpenAI and associated partner companies (such as Jony Ive and other co-founders) are currently prevented from using "io" branding in hardware, marketing or promotional material until this TRO has been lifted.

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iyO argued that even though OpenAI has not yet launched any hardware, the venture’s announcement and promotional content had already caused “reverse confusion”. In trademark law, reverse confusion occurs when a large, well-known company overwhelms a smaller, existing brand, causing consumers to assume the smaller player’s products are linked to the bigger one. The court found this argument persuasive.

Advertising Alone Counts as Trademark Use

OpenAI had maintained that the lawsuit was premature, pointing out that no commercial product had been sold and no full-scale marketing campaign was underway. The court rejected this defence.

Judges determined that the May 2025 launch video and promotional materials met all requirements to constitute trademark usage under US law, effectively making clear that companies don't necessarily need to sell products in order to commit trademark infringement; public announcements or advertising alone could suffice as grounds for legal consequences.

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What the Ruling Means Going Forward

As a result of the ruling, OpenAI and Ive’s venture must avoid using the “io” name in any context related to AI-powered voice interface hardware, which is the same space iyO operates in. Promotional pages, teaser videos, and branding materials that previously referenced “io” have already been removed from websites and social platforms.

Importantly, the restraining order is limited in scope. It does not block OpenAI from using “io” in unrelated areas, but it does prevent its use for the specific category of AI voice-based computing devices at the heart of the dispute.

For now, the joint venture will have to operate behind the scenes without a public-facing brand, at least until the trademark case moves forward or a new name is chosen.