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OpenAI Fails to Register as an EU Trademark: The Limits of Descriptive Names

The EU Court denies protection to the word mark OPENAI. What this case reveals about descriptive brand names.

Of all companies, the world’s best-known AI company is unable to register its own name as a trademark in Europe. The General Court of the European Union has upheld the rejection of the word mark “OPENAI” for software, interfaces, databases, and similar services (General Court, judgment of July 15, 2026, Case No. T-555/25). The reason may seem surprising at first, but it aligns with one of the most important principles of trademark law: a name that simply describes the product or service does not belong exclusively to anyone.

OpenAI had filed an application for the OPENAI trademark in several classes of goods and services. The European Union Intellectual Property Office (EUIPO) raised no objections regarding telecommunications (Class 38). However, for software, APIs, databases, research, and related services (Classes 9, 42, and 45), it considered the mark to be purely descriptive: the English-speaking public would understand “open” plus “ai” to mean “freely accessible artificial intelligence.” That is precisely what no company should be allowed to monopolize for itself.

Why a Name Sometimes Gives Too Much Away

Trademark law recognizes what are known as absolute grounds for refusal. One of these is that descriptive terms are not eligible for registration. The classic example is APPLE. The word cannot be a trademark for fruit because every fruit vendor must be able to offer and name apples. For sound recordings or computers, however, “Apple” poses no problem because it does not describe anything in those contexts. That is why every trademark is always examined only with regard to specific classes.

In the court’s view, “OpenAI” accurately describes what is being offered in the context of software and AI services. The fact that OpenAI writes the two words together without a space or hyphen does not make it a fanciful name: The public does not analyze names grammatically in everyday life. Nor did the objection that “open” has many meanings help the case. According to established case law, a single descriptive meaning is sufficient to bar registration.

The need to keep the market open protects competition

Behind this strict policy lies a simple idea: the need to keep the term open. Words that describe a product’s characteristic or nature must be available to all providers. If a single company were to obtain a monopoly on the term “freely accessible AI,” no competitor would be able to advertise its own, genuinely open AI offering using this obvious term. Trademark law thus protects not only the applicant but also, by design, the market. In addition to the description, the EUIPO had also denied the mark distinctiveness. In the end, this was no longer relevant, as a single ground for refusal is sufficient. Both grounds are set forth in Article 7 of the EU Trademark Regulation.

Why Foreign Brands and Spelling Didn’t Help

OpenAI cited more than 30 successful registrations worldwide, for example in the United Kingdom and Singapore. This is irrelevant for Europe: The EUIPO makes its decisions solely in accordance with EU law; foreign registrations are not binding on it. Nor did the reference to allegedly comparable trademarks in the EU register hold up. A potentially erroneous earlier registration does not give rise to a claim to a subsequent one. No one can demand equal treatment when the original decision was incorrect.

Word and Design Marks and Brand Awareness as an Alternative Approach

For OpenAI, this does not mean all is lost, and here it is worth looking beyond this specific case. The logo—that is, the graphically designed word-and-design mark—has long been registered. Such marks can also be protected even if they contain descriptive words, because the specific design is the object of protection. However, only the design is protected, not the mere sequence of letters. Competitors are permitted to use the same words in a different presentation. The second route involves reputation. If a mark that is descriptive in itself has become established in the marketplace through intensive use, it can still be registered. Proving this, however, is a complex process; evidence must be provided for all member states, and the EUIPO typically reviews it only after the regular application has been definitively rejected. In addition, the option of appealing to the European Court of Justice remains open.

What This Means for Your Own Brand Choice

The OpenAI case is not an exception but the rule. Especially in technology and AI, there’s a strong temptation to explain the product right in the name: “Smart,” “Cloud,” “Data,” “Open.” Such descriptive names are catchy in marketing, but they’re often worthless under trademark law because they fail precisely because they’re descriptive. We therefore advise clients to weigh the balance between marketing impact and registrability right from the start of the naming process. A made-up or fantasy word may require more explanation initially, but it can be defended later on. We have compiled a list of signs that are not eligible for protection from the outset in our knowledge database. Anyone who wants to protect a name should check its registrability before filing an application, not only after the office has refused it. The strongest trademark is rarely the one that reveals the most, but rather the one that unmistakably represents a company.

Why can’t OpenAI register its name as an EU trademark?

Because the court considers “OpenAI” to be descriptive of software and AI services: The mark tells the public that it refers to freely accessible artificial intelligence. Descriptive terms are not eligible for registration under Article 7 of the EU Trademark Regulation.

Does that apply to the OpenAI logo as well?

No. The graphically designed word and design mark is registered. However, only the specific design is protected, not the mere sequence of letters.

Could OpenAI still end up getting the trademark later on?

This can be achieved by proving that the trademark has become well-established throughout the EU market through use, or by filing an appeal with the European Court of Justice. Both options are time-consuming and have an uncertain outcome.

What does this mean for my own brand name?

The more a name describes the product, the more difficult it is to protect as a trademark. It is worth checking whether the name is eligible for protection before filing an application.

Are you a law firm outside Germany? We act as German and European counsel for foreign firms in trade mark, copyright and unfair competition matters, and the client relationship stays on your side. How we work with foreign law firms.

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Dennis Tölle

Specialist Attorney for Copyright and Media Law; Specialist Attorney for Intellectual Property Law

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Aktuelle Urteile, Praxistipps und neue Folgen aus Marken-, Urheber-, Medien- und Wettbewerbsrecht. Kompakt per E-Mail.

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