Elon Musk’s xAI has filed a sweeping antitrust lawsuit against Apple and OpenAI, accusing both companies of orchestrating an anticompetitive scheme to stifle innovation and limit competition in the artificial intelligence sector. The lawsuit, brought by Musk’s AI ventures, alleges that Apple and OpenAI have colluded to maintain monopolistic control over critical AI infrastructure, particularly through Apple’s dominance of the App Store and OpenAI’s close ties to Microsoft. According to the complaint, Apple has unfairly restricted access to its platform for rival AI applications, manipulating app rankings and imposing restrictive policies that disadvantage emerging AI developers. At the same time, the suit claims that OpenAI has leveraged its partnerships and access to computing resources to create an uneven playing field, effectively blocking new entrants from gaining traction. Musk’s legal team argues that these actions violate federal antitrust laws by suppressing competition, limiting consumer choice, and slowing technological progress. The case marks a significant escalation in the high-stakes battle over AI’s future, with Musk positioning his companies as champions of open innovation against entrenched tech powerhouses. The lawsuit is expected to draw intense scrutiny from regulators and could have far-reaching implications for how AI tools are developed, distributed, and monetized in the global digital economy.
Elon Musk has launched a sweeping antitrust lawsuit against Apple and OpenAI, accusing the two tech giants of colluding to stifle competition in the artificial intelligence industry. Filed by Musk’s AI startup xAI and his social media platform X Corp. in the U.S. District Court for the Northern District of Texas, the 61-page complaint alleges that Apple and OpenAI have formed an illegal partnership to maintain monopolies in the smartphone and generative AI markets. The lawsuit claims this alliance undermines fair competition and unfairly disadvantages rival AI platforms, particularly Musk’s own Grok chatbot. The core of the complaint centers on Apple’s decision to integrate OpenAI’s ChatGPT into its devices, including the iPhone, iPad, and Mac, as an AI-powered “answer engine” when Apple’s own on-device AI capabilities fall short. According to the lawsuit, this partnership gives ChatGPT exclusive access to Apple’s vast user base and valuable data, while blocking competitors from achieving top visibility in the App Store. Musk argues that Apple has manipulated its app rankings to deprioritize rival AI apps, including Grok, DeepSeek, and Perplexity, despite these apps occasionally reaching the No. 1 spot in certain regions. Musk’s legal action follows a public feud that intensified in early June when he accused Apple of rigging the App Store to favor ChatGPT and harm his AI ventures. In a post on X, he claimed it was “impossible for any AI company besides OpenAI to reach #1 in the App Store,” framing the move as a deliberate anticompetitive tactic. The lawsuit expands on this claim, asserting that Apple views AI as an “existential threat” to its iPhone business and has therefore partnered with OpenAI to preserve its dominance. The complaint also paints OpenAI as a company that has abandoned its original nonprofit mission, now prioritizing profit over public safety. It echoes Musk’s earlier lawsuit against OpenAI, in which he alleged the company had betrayed its founding principles by shifting toward a for-profit model. OpenAI has pushed back, calling Musk’s latest filing part of a “pattern of harassment” and pointing to Musk’s own alleged manipulation of X to benefit his companies. OpenAI CEO Sam Altman responded on X, accusing Musk of undermining competitors and people he dislikes. The lawsuit also raises concerns about the long-term threat posed by OpenAI’s growing ambitions. The company recently hired Jony Ive, the former Apple design chief, to lead an AI hardware project, fueling speculation that OpenAI could one day release a device that competes directly with the iPhone. Apple has not issued a formal response, though it previously stated its App Store is “fair and free of bias,” citing thousands of apps and multiple ranking signals. The case now moves toward a trial, with Musk seeking monetary damages and a court order to stop the alleged anti-competitive behavior. This legal battle is the latest chapter in the escalating conflict between Musk and OpenAI’s leadership, highlighting deepening tensions in the AI race. As AI reshapes the tech landscape, this case could set a precedent for how courts evaluate partnerships between major platforms and AI developers in the digital age.