Apple’s major push into artificial intelligence is facing a significant legal challenge from Elon Musk’s AI startup, xAI. A new lawsuit accuses Apple and its partner OpenAI of engaging in a monopolistic conspiracy that harms competition. The filing marks a direct attack on one of Apple’s cornerstone AI strategies: the integration of ChatGPT into its operating systems.
The complaint, lodged in a Texas court, alleges that the Apple-OpenAI agreement constitutes an “unlawful agreement” to dominate their respective markets. By embedding OpenAI’s technology, Musk argues Apple is unfairly blocking other AI companies, including his own Grok chatbot, from reaching its massive user base. The lawsuit aims to dismantle this partnership and secure billions in damages.
This legal confrontation is the latest chapter in the very public and contentious falling out between Elon Musk and OpenAI CEO Sam Altman. Musk, an original founder of OpenAI, has become a fierce critic since leaving the company, often accusing it of abandoning its ethical foundations in the pursuit of profit. This suit follows a recent public spat where Musk accused Apple of rigging its app store rankings to favor OpenAI.
OpenAI has dismissed the allegations, portraying them as part of a personal vendetta by Musk. A spokesperson for the AI leader called the filing consistent with Musk’s “ongoing pattern of harassment.” The lawsuit places Apple in a difficult position, forcing it to defend a key partnership that is central to its plan to compete in the rapidly evolving AI landscape.