Musk Sues Apple and OpenAI for Hindering Competition

Elon Musk's artificial intelligence company, xAI, has filed a lawsuit in a Texas federal court against Apple and OpenAI. The legal action alleges that the two tech giants engaged in an illegal collaboration to suppress competition within the AI sector.

Apple and OpenAI have "locked up markets to maintain their monopolies and prevent innovators like X and xAI from competing," according to the lawsuit.

Apple, in partnership with OpenAI, has integrated ChatGPT into its operating system for iPhones, iPads, and Macs.

"If not for its exclusive deal with OpenAI, Apple would have no reason to refrain from more prominently featuring the X app and the Grok app in its App Store," the lawsuit said.

In the lawsuit, xAI said it is seeking billions of dollars in alleged damages.

"This latest filing is consistent with Mr. Musk's ongoing pattern of harassment," an OpenAI spokesperson said in a statement.

Apple did not immediately respond to a request for comment.

Musk later on Monday, in a post on his social media platform X, echoed the allegations in the lawsuit, writing, "A million reviews with 4.9 average for @Grok and still Apple refuses to mention Grok on any lists."

Musk had threatened to sue Cupertino, California-based Apple earlier this month, writing on X that Apple's behavior "makes it impossible for any AI company besides OpenAI to reach #1 in the App Store."

OpenAI's ChatGPT became the fastest-growing consumer application in history in the months following its launch in late 2022.

Musk's xAI acquired X in March for $33 billion to enhance its chatbot training capabilities. Musk has also integrated the Grok chatbot into vehicles made by his electric automobile company Tesla.

xAI was launched less than two years ago and competes with Microsoft-backed OpenAI, as well as with Chinese startup DeepSeek.

Antitrust legal experts who are not involved in the lawsuit said Apple's dominant position in the smartphone market could bolster xAI's claims that the company is illegally tying its iPhone sales to OpenAI's ChatGPT.