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ARTICLE VIEW:
Elon Musk’s xAI sues Apple and OpenAI over AI competition, App Store
rankings
Story by Reuters
Updated:
12:00 PM EDT, Mon August 25, 2025
Source: Reuters
Billionaire entrepreneur Elon Musk’s artificial intelligence startup
xAI sued Apple () and ChatGPT maker OpenAI in U.S. federal court in
Texas on Monday, accusing them of illegally conspiring to thwart
competition for artificial intelligence.
Apple and OpenAI have “locked up markets to maintain their monopolies
and prevent innovators like X and xAI from competing,” the said.
The complaint 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.
Apple and OpenAI did not immediately respond to requests for comment.
Earlier this month, Musk Cupertino, California-based Apple, saying in a
post on his social media platform X that Apple’s behavior “makes it
impossible for any AI company besides OpenAI to reach #1 in the App
Store.”
Apple’s partnership with OpenAI has integrated its AI platform
ChatGPT into iPhones, iPads and Macs.
Musk’s xAI X in March for $33 billion to enhance its chatbot training
capabilities. Musk also has integrated the Grok chatbot into vehicles
made by his electric automobile company Tesla ().
Musk’s xAI was launched less than two years ago and competes with
Microsoft-backed OpenAI as well as with Chinese startup DeepSeek.
Musk is separately suing OpenAI and its chief executive Sam Altman in
federal court in California to stop its conversion from a nonprofit to
a for-profit business. with Altman in 2015 as a nonprofit.
Apple’s App Store practices have been the focus of multiple lawsuits.
In one by “Fortnite” video game maker Epic Games, a judge ordered
Apple to allow greater competition for app payment options.
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