Elon Musk has launched a high-stakes legal battle against Apple Inc. and OpenAI, alleging that the tech giants are unfairly restricting competition in the AI space. The billionaire claims Apple’s exclusive integration of OpenAI’s ChatGPT into iPhones undermines rival chatbot makers, including his own ventures, X and xAI.
The suit, which was filed Monday in Fort Worth, Texas, is for billions of dollars in damages, xAI said. Musk's lawyers contend Apple's deal with OpenAI monopolizes the App Store, rendering it virtually impossible for other competitors to achieve the highest charts a prized position for app developers around the world.
Musk's complaint asserts that the collaboration "has locked up markets to keep their monopolies and exclude innovators such as X and xAI from competing." The lawsuit directly targets the special treatment for ChatGPT on Apple devices, which Musk argues denies consumers choice.
The Musk vs OpenAI CEO Sam Altman conflict is not a new one. Musk was a co-founder of OpenAI but broke away from the company amid differences over the direction it should take. This case adds another page to their long-standing feud, with Musk's xAI and X social network facing off against OpenAI and Apple.
Apple has already come under fire from regulators around the world over allegations that its App Store limits competition. It is also embroiled in a five-year court case with Epic Games that tries to break Apple's control over smartphone software markets. Musk's complaint follows the same themes, pointing out how Apple's rules might favor one AI provider at the expense of competitors.
The suit follows up on Musk publicly challenging Apple on X (previously Twitter) last August, questioning if the technology giant was "playing politics" by failing to feature his products. Apple reacted that the App Store "is intended to be fair and impartial." Altman responded indirectly, claiming that Musk manipulates the X network to further individual interests, continuing the public sparring.
This court fight provides a stage for an epic confrontation between the world's wealthiest individual and one of the world's most valuable companies. The result may redefine AI applications being delivered on iPhones, and maybe allow the App Store to be opened to greater competitors in generative AI.
So far, neither Apple nor OpenAI has responded to the suit, allowing onlookers to speculate about the potential impact on AI creators and iPhone users as well.
