Musk sues Apple, OpenAI over alleged AI competition suppression

by | Aug 25, 2025 | World

Billionaire Musk filed a US lawsuit against the two tech giants in Texas, alleging that Apple suppressed Grok’s xAI in exchange for OpenAI, with which it has an agreement.Elon Musk’s artificial intelligence startup xAI has sued Apple and ChatGPT maker OpenAI, accusing them of illegally conspiring to thwart competition for artificial intelligence (AI).The lawsuit filed in a United States federal court in Texas on Monday says that Apple and OpenAI have “locked up markets to maintain their monopolies and prevent innovators like X and xAI from competing”.The complaint filed by the billionaire said Apple and OpenAI conspired to suppress xAI’s products, including 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,” xAI said.The lawsuit pointed out that in June 2024, Apple and OpenAI announced they would integrate ChatGPT into Apple’s operating system under an exclusive arrangement.“OpenAI’s exclusive arrangement has made ChatGPT the only generative AI chatbot integrated into the iPhone. This means that if iPhone users want to use a generative AI chatbot for key tasks on their devices, they have no choice but to use ChatGPT, even if they would prefer to use more innovative and imaginative products like xAI’s Grok,” the lawsuit alleged.Apple hold …

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