Musk’s lawsuit alleges Apple suppressed Grok and X apps to favour OpenAI’s ChatGPT
Elon Musk’s artificial intelligence firm xAI has escalated its battle in the AI sector by suing Apple and OpenAI in US federal court in Texas, alleging that the companies conspired to shut out rivals from the market, according to BNN Bloomberg.
The complaint stated that Apple and OpenAI “locked up markets to maintain their monopolies and prevent innovators like X and xAI from competing.”
It also claimed Apple suppressed xAI’s Grok chatbot and X app in the App Store, with xAI alleging, “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.”
As per Reuters, xAI is seeking billions of dollars in damages.
Apple did not immediately respond to requests for comment, while an OpenAI spokesperson said the filing was “consistent with Musk’s ongoing pattern of harassment.”
Apple’s partnership with OpenAI integrated ChatGPT into iPhones, iPads, and Macs in June 2024, an exclusive arrangement that xAI said gave OpenAI a critical advantage by embedding ChatGPT directly into Apple’s operating system.
Apple currently holds 65 percent of the smartphone market, reported Al Jazeera, a figure that could reinforce antitrust claims.
Antitrust experts told Reuters that Apple’s dominant position could bolster xAI’s arguments but added that Apple may defend its actions as standard business decisions in a competitive market.
University of Pennsylvania law professor Herbert Hovenkamp said Apple might also cite security or operational reasons for integrating ChatGPT into its devices.
Christine Bartholomew, a professor at the University at Buffalo School of Law, described the lawsuit as “a canary in the coal mine in terms of how courts will treat AI, and treat antitrust and AI.”
Musk amplified the allegations in posts on X, saying Apple’s conduct “makes it impossible for any AI company besides OpenAI to reach #1 in the App Store.”
He also claimed, “A million reviews with 4.9 average for @Grok and still Apple refuses to mention Grok on any lists.”
OpenAI CEO Sam Altman responded on X, calling Musk’s claims “remarkable.”
He added that they were hypocritical, noting reports that Musk manipulates X to benefit himself, his companies, and to harm competitors, as reported by The New York Times.
Musk co-founded OpenAI with Altman in 2015 but left in 2018. He is separately suing OpenAI and Altman in California, seeking to block the company’s conversion from a nonprofit into a for-profit business.
According to Al Jazeera, Musk’s xAI, launched less than two years ago, competes with Microsoft-backed OpenAI and Chinese startup DeepSeek.
The company acquired X in March for US$33bn to support chatbot training and has integrated the Grok chatbot into Tesla vehicles.
Apple’s App Store practices have long faced scrutiny.
As reported by Reuters, “Fortnite” maker Epic Games won a ruling requiring Apple to allow greater competition in app payment options.
Despite the legal filing, Apple’s shares gained 0.6 percent on Wall Street, while Tesla shares rose 1.2 percent, Al Jazeera reported.
OpenAI and xAI remain privately held.
