Musk's xAI files antitrust lawsuit against Apple and OpenAI
What's the story
Elon Musk's companies, X Corp. and xAI, have filed a lawsuit against Apple and OpenAI. Apple and OpenAI have "locked up markets to maintain their monopolies and prevent innovators like X and xAI from competing," the lawsuit said. The complaint was filed on Monday in a Texas federal court. It also accuses Apple's App Store of "deprioritizing" competing chatbots and "super" apps like Grok and X.
Allegations
'Monopoly' created by Apple and OpenAI
The lawsuit claims that Apple and OpenAI have created a monopoly by limiting market access to their competitors. It argues that iPhone users are directed toward using ChatGPT as their default chatbot app when they enable Apple Intelligence. This, the suit contends, gives an unfair advantage to ChatGPT over other AI apps developed by Musk's companies such as Grok and X. Notably, Apple has partnered with OpenAI to integrate ChatGPT into its operating system for iPhones, iPads, and Macs.
Antitrust concerns
Musk's previous accusations against Apple
Musk has previously accused Apple of manipulating App Store rankings in favor of OpenAI. He had said, "Apple is behaving in a manner that makes it impossible for any AI company besides OpenAI to reach #1 in the App Store, which is an unequivocal antitrust violation." The lawsuit further claims that despite high rankings, neither X nor Grok apps appear under the App Store's "Must-Have Apps" section.
Legal battle
Apple's partnership with OpenAI challenged in lawsuit
The lawsuit also challenges Apple's partnership with OpenAI, claiming it creates a "moat" that shields the AI giant due to "Apple's monopoly in smartphones." It argues that the integration of ChatGPT into iPhones gives OpenAI access to "potentially billions of user prompts originating from hundreds of millions of iPhones," giving it an unfair edge. An OpenAI spokesperson dismissed the lawsuit as part of Musk's "ongoing pattern of harassment."