Billionaire entrepreneur Elon Musk’s artificial intelligence startup, xAI, has filed a lawsuit against Apple and ChatGPT maker OpenAI in U.S. federal court in Texas, accusing the companies of conspiring to stifle competition in the AI industry. The complaint alleges that Apple and OpenAI “locked up markets to maintain their monopolies and prevent innovators like X and xAI from competing.”
According to the filing, Musk’s firm claims Apple’s exclusive partnership with OpenAI has led to the suppression of xAI products, including the X app and Grok chatbot, on the Apple App Store. “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 states. Neither Apple nor OpenAI immediately responded to requests for comment.
The case follows Musk’s earlier warnings on his social media platform, X, that Apple’s practices made it “impossible for any AI company besides OpenAI to reach #1 in the App Store.” Apple has integrated OpenAI’s ChatGPT into iPhones, iPads, and Macs, strengthening its AI ecosystem. Musk’s xAI, which launched less than two years ago, has sought to rival OpenAI, Microsoft-backed AI ventures, and Chinese competitor DeepSeek. The company recently acquired X for $33 billion to boost chatbot training and integrated its Grok assistant into Tesla vehicles. Musk is also pursuing a separate lawsuit against OpenAI and CEO Sam Altman in California over the company’s shift from nonprofit to for-profit status.