What lessons can we learn from the OpenAI & IYO Trademark Dispute about the importance of brand naming? In the world of branding, naming is mission-critical. It’s often a brand’s very first impression – and ideally, one that endures. Logos may change. Messaging evolves. But the name? That’s the constant – or at least, it should be.
And even the most dazzling name won’t get far if it can’t hold up in court.
Houston, We Have a Problem
Consider the recent trademark clash between OpenAI and a startup called IYO (stylized iyO, and pronounced “eye-oh”). This wasn’t a murky, maybe/maybe-not situation – the potential for conflict was crystal clear.
IYO filed for a U.S. trademark in September 2021 for a natural-language, AI-powered, screen-less audio computer: earbuds designed to interact with apps and content via voice, not screens. While the company hasn’t publicly explained the name’s origin, it’s almost certainly a nod to “I/O” (input/output) – a foundational computing concept that’s become shorthand for human-machine interaction.
Then came May 2024.
OpenAI, in partnership with design legend Jony Ive, announced its own forthcoming AI hardware of similar purpose – named “io”. According to Sam Altman, the name had been selected two years earlier, also inspired by input/output.
But with two AI-focused products, close functionality, identical pronunciation, and nearly indistinguishable lowercase visuals, confusion wasn’t just possible – it was probable.
On June 12, 2025, IYO Inc. filed a federal trademark infringement lawsuit against OpenAI, Jony Ive, and Sam Altman. Just two weeks later, U.S. District Judge Trina Thompson granted a temporary restraining order, barring OpenAI from using or promoting the io name until a full hearing could take place.
OpenAI complied, scrubbing io from its website and removing its promotional video and related press materials. Despite the takedown, the high-profile partnership with Jony Ive remains intact, and the hardware project continues under an undisclosed name.
Meanwhile, OpenAI is preparing to contest the restraining order at a preliminary injunction hearing set for October 2025. The company has publicly stated that it disagrees with the trademark complaint and is actively developing its legal response.
Trademark Play or Branding Blunder?
Given the obvious similarities between iyO and io, many observers – myself included – have wondered how a company with OpenAI’s legal firepower could walk into such a clear trademark conflict. While a simple legal oversight is possible, it seems unlikely.
A more plausible explanation is that OpenAI saw the risk and moved ahead anyway – perhaps assuming that io was too generic or descriptive to be enforceable, or that while related, the products had enough distinction to shield them from liability.
It may also have been a calculated branding play: launch with io for its technical resonance and early buzz, then settle or rename later if necessary. But if that was the plan, it backfired. The restraining order didn’t just pause their use of the name – it derailed the public rollout and handed the narrative to a much smaller player.
Ultimately, this case is a powerful reminder of the importance of creative vision and legal rigour.
The Hydra-Headed Trademark Beast
At River + Wolf, we often liken trademark clearance to battling the Hydra of Greek mythology – the many-headed serpent that grows two new heads for every one you cut off. In today’s saturated naming landscape, solving one issue often uncovers another.
Some risk is nearly unavoidable for strong, desirable names. But not all risk is equal. The role of a naming specialist – working in close collaboration with an IP attorney – is to help brands distinguish between acceptable and unacceptable risk. That’s why, at River + Wolf, our attorneys are co-pilots on every naming journey.
Creativity Meets Caution
Naming isn’t just about clever turns of phrase or capturing a product’s spirit. It’s about staking out real, defensible ground in an increasingly crowded trademark terrain. That means steering clear of marks that are too close – in sound, meaning, or commercial impression – to existing names in the same or adjacent spaces.
Assuming it wasn’t a trademark play, that’s what went wrong with iyO and io.
Before launching any name, have an experienced IP attorney conduct a comprehensive trademark search. It’s the clearest way to ensure your brand doesn’t just take off, but stays in orbit.
