FBI probes possible Saudi espionage plot involving former OpenAI engineer - report

The FBI is considering economic espionage charges against a former OpenAI engineer accused of planting a listening device, amid concerns he intended to offer company secrets to Saudi Arabia.

The FBI is investigating whether to pursue economic espionage charges against former OpenAI engineer Abdulrahman Alfozan, who was arrested earlier this month for allegedly planting a recording device in a restricted conference room at the artificial intelligence company, the Wall Street Journal reported Saturday.

Investigators are examining whether Alfozan obtained confidential information to offer to the Saudi government, even without being recruited to do so, according to a law enforcement official cited by the WSJ. 

Authorities are also considering potential trade secret theft charges, although the investigation may not result in additional prosecution.

Alfozan, 35, a Saudi national and US permanent resident, allegedly concealed a small circuit board and microphone behind a television in a conference room primarily used by OpenAI executives.

He currently faces a federal charge of unlawfully intercepting communications, punishable by up to five years in prison. His next court appearance is scheduled for November 6.

His attorney, William Pernik, said he had received no indication that additional charges were being considered.

“We made it very clear that Mr. Alfozan will fight these charges and allegations in court, not in the press,” Pernik said.

Prosecutors examine ties to Saudi royal family

Prosecutors say Alfozan exchanged frequent WhatsApp messages with an unidentified member of the Saudi royal family in 2025 and 2026.

The royal family member allegedly sought to recruit him for a Saudi artificial intelligence initiative, writing, “Saudi needs you more then [sic] the US!”

Alfozan reportedly responded, “100,” but indicated he intended to remain at OpenAI until his company shares had vested.

Prosecutors said their last known exchange occurred on October 5, the same day Alfozan allegedly returned to the conference room to retrieve the recording device. OpenAI security personnel had already discovered and removed it, subsequently notifying the FBI.

Planned departure, Saudi consulate involvement raise concerns

Prosecutors also disclosed that Alfozan purchased one-way tickets to Saudi Arabia via Istanbul for himself, his wife, and their three-month-old son. He was arrested three days before their planned departure.

His wife and son subsequently traveled to Qatar on business-class tickets purchased by a Saudi military official, according to prosecutors.

Defense attorneys said the official was the wife's brother-in-law, that no military funds were used, and that Alfozan frequently booked one-way flights.

During an October 19 detention hearing, US Magistrate Judge Alex G. Tse questioned a letter from the Saudi Consulate in Los Angeles offering to cover Alfozan's entire bail bond.

“Even if I set it at $10 million?” the judge asked. “I find that problematic. Seems like a blank check. ‘We’re gonna pay whatever the court wants to make sure he gets out.’ ”

Alfozan was denied bail after the judge determined he posed a significant flight risk.

OpenAI is examining what information the recording device may have captured and whether the incident involved corporate espionage or potential state-sponsored intelligence gathering, according to a person familiar with the investigation.