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Elon Musk’s xAI Sues Apple, OpenAI, Claims Monopolist Scheme

Elon Musk’s xAI Sues Apple, OpenAI, Claims Monopolist Scheme

Posted on August 26, 2025 By rehan.rafique No Comments on Elon Musk’s xAI Sues Apple, OpenAI, Claims Monopolist Scheme

Earlier this month, Elon Musk, the owner of the AI startup xAI, posted on X that he’d be taking “legal action” against Apple for “playing politics” by not putting Grok, his company’s chatbot, in its “Must Have” section in the Apple Store.

“Apple is behaving in a manner that makes it impossible for any AI company besides OpenAI to reach #1 in the App Store, which is an unequivocal antitrust violation,” Musk wrote at the time. “xAI will take immediate legal action.”

On Monday, Musk’s companies sued both Apple and OpenAI in a U.S District Court in Texas, claiming the two tech giants engaged in an “anticompetitive scheme,” per CNBC.

Related: Elon Musk Warns Microsoft That Its Partner, OpenAI, Is About to Eat It Alive

“Working in tandem, Defendants Apple and OpenAI have locked up markets to maintain their monopolies and prevent innovators like X and xAI from competing,” the lawsuit says.

“In a desperate bid to protect its smartphone monopoly, Apple has joined forces with the company that most benefits from inhibiting competition and innovation in AI: OpenAI, a monopolist in the market for generative AI chatbots,” the complaint continues.

Related: Elon Musk Says X Found the Vine Archive, Restoring Access

OpenAI CEO Sam Altman and Musk have been fighting on X over the issue (and others) this month.

In response to Musk’s claims earlier this month, Apple told Bloomberg that the store is “designed to be fair and free of bias.”

In a statement to Business Insider, an OpenAI spokesperson said: “This latest filing is consistent with Mr Musk’s ongoing pattern of harassment.”

Earlier this month, Elon Musk, the owner of the AI startup xAI, posted on X that he’d be taking “legal action” against Apple for “playing politics” by not putting Grok, his company’s chatbot, in its “Must Have” section in the Apple Store.

“Apple is behaving in a manner that makes it impossible for any AI company besides OpenAI to reach #1 in the App Store, which is an unequivocal antitrust violation,” Musk wrote at the time. “xAI will take immediate legal action.”

On Monday, Musk’s companies sued both Apple and OpenAI in a U.S District Court in Texas, claiming the two tech giants engaged in an “anticompetitive scheme,” per CNBC.

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