Elon Musk’s xAI Sues Apple, OpenAI Alleging Anti-Competitive AI Scheme

Another chapter unfolds in the ongoing saga between tech giant Elon Musk, Apple, and OpenAI. The magnate has decided to take his grievances to court. His artificial intelligence startup, xAI, has filed a lawsuit against Apple and the creators of ChatGPT. xAI claims the companies put together an “anti-competitive scheme” designed to hurt Grok, xAI’s own AI product.

The lawsuit was filed in a court in the Northern District of Texas. It argues that Apple and OpenAI worked together to keep their dominant positions. Apple allegedly holds onto its smartphone market, and OpenAI maintains its lead in generative artificial intelligence. Musk also called out Apple for reportedly favoring OpenAI. This favoritism shows up in how Apple puts ChatGPT into its operating systems. It also seems to push Grok and other competing AI apps lower in the App Store rankings.

This legal move isn’t really a shock. Musk had already voiced his concerns publicly just a few days ago. Earlier this month, the owner of xAI and X accused Apple of an “unequivocal anti-competition violation.” He claimed Apple stopped other AI companies, besides OpenAI, from getting to the top of its app rankings.

The lawsuit clearly states, “If it weren’t for the exclusive agreement with OpenAI, Apple would have no reason to stop highlighting the X and Grok apps in its App Store.” It goes on to warn, “Unless the court prohibits the illegal conduct of Apple and OpenAI, the defendants will continue to hinder competition, and their competitors, as well as the plaintiffs, will continue to suffer anti-competitive consequences.”

Elon Musk Apple OpenAI Grok AI

Neither Apple nor OpenAI have made any public statements about the lawsuit filed by the father. Elon Musk himself has also remained quiet on the matter for now. However, it wouldn’t be surprising to hear from him in the next few hours. It’s worth remembering that this isn’t their first clash. After his initial accusation, Musk and Sam Altman, who leads ChatGPT, got into a heated debate on X (formerly Twitter).

Altman hit back hard at the xAI owner. He accused Musk of using X to his own advantage and harming his rivals. Musk quickly fired back. Altman then challenged him to sign a statement denying such behavior. This lawsuit marks yet another chapter in a rivalry that keeps ending up in court.

The lawsuit from Elon Musk against Apple and OpenAI wants a permanent court order. This order would stop them from going ahead with legal action against X and Grok. The lawsuit also seeks money for damages, including “ordinary damages, triple damages, punitive damages and/or restitution.” The exact amount would be decided during a trial.

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