Billionaire entrepreneur Elon Musk’s artificial intelligence company, xAI, filed a lawsuit in federal court in Texas on Monday, accusing Apple and OpenAI of colluding to block competition in the rapidly growing AI industry.
According to the lawsuit, Apple and OpenAI have “locked up markets to maintain their monopolies and prevent innovators like X and xAI from competing.”
The complaint alleges that Apple and OpenAI worked together to keep xAI’s products from gaining visibility, particularly in 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,” xAI stated.
Neither Apple nor OpenAI has yet responded to requests for comment.
Earlier this month, Musk warned that legal action against Apple was imminent, accusing the company of giving OpenAI an unfair advantage. In a post on X, his social media platform, Musk said Apple’s conduct “makes it impossible for any AI company besides OpenAI to reach #1 in the App Store.”
Apple’s alliance with OpenAI has made ChatGPT a built-in feature on iPhones, iPads, and Macs, deepening the integration of OpenAI’s technology into Apple’s ecosystem.
Musk’s company xAI bought X, formerly known as Twitter, in March for $33 billion, aiming to leverage the platform’s data to improve chatbot training. He has also connected xAI’s Grok chatbot to Tesla vehicles, expanding its reach into the automotive market.
Launched less than two years ago, xAI faces stiff competition from OpenAI, which is backed by Microsoft, as well as from Chinese AI company DeepSeek.
Separately, Musk has filed another lawsuit in California against OpenAI and its CEO, Sam Altman, seeking to block the company’s transition from its original nonprofit structure to a for-profit model.
Musk co-founded OpenAI with Altman in 2015, establishing it as a nonprofit before its later shift in direction.
Apple’s policies for its App Store have long been under scrutiny, facing several lawsuits over its control of app distribution and payment systems. In one high-profile case brought by “Fortnite” creator Epic Games, a judge ruled that Apple must allow more competition by giving developers alternative payment options.
{Matzav.com}
