A former engineer at OpenAI has been accused of espionage after allegedly placing a hidden listening device in a conference room used by company executives. Federal prosecutors have revealed that the engineer, Abdulrahman Alfozan, was in frequent contact with a member of the Saudi royal family and planned to move to Riyadh. He was arrested by authorities while preparing to leave the United States.
Allegations and Investigation
Alfozan, a Saudi national, reportedly used artificial intelligence tools to develop sophisticated recording devices. He earned a substantial salary of $385,000 annually and received a $2.2 million equity grant from OpenAI when he joined in July 2025.
Federal investigators found evidence suggesting that Alfozan intended to place more devices within OpenAI offices. Communications via WhatsApp with a Saudi royal showed encouragement to return to Saudi Arabia to participate in an AI initiative. Prosecutors highlighted photos and internal searches related to meetings between OpenAI and Saudi officials.
Device Installation and Functionality
The investigation revealed that on September 28, Alfozan installed an audio recording device into a USB port on a television in an executive conference room. The device remained operational for several days, capturing confidential discussions on technical and strategic matters. Prosecutors claimed Alfozan altered the device to prevent data transfer between it and the TV and encrypted the captured content.
Communication with Saudi Royal Family
Throughout 2025 and 2026, Alfozan had regular communication with a Saudi royal via WhatsApp. Messages suggested he was being enticed to join a Saudi AI project. A royal family member mentioned that Saudi Arabia needed his expertise more than the United States, urging Alfozan to relocate, which he agreed to, but only after his stock vested.
Arrest and Legal Proceedings
Alfozan was arrested on October 9, shortly before a planned departure to Saudi Arabia. His wife and infant son later traveled to Riyadh, with business-class tickets the prosecution claims were funded by a Saudi military official. Despite having no prior criminal record and being a permanent U.S. resident since 2020, Alfozan was fired from OpenAI following his arrest.
At a detention hearing, U.S. Magistrate Judge Alex Tse denied a request for Alfozan’s home confinement. The government cited his financial resources and connections as reasons for detention, suggesting a high risk of flight. Alfozan is scheduled for further court proceedings next month.
Note: This article includes information related to OpenAI and artificial intelligence developments.
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