Elon Musk’s artificial intelligence venture xAI, along with social media platform X, has filed a lawsuit against Apple and OpenAI, accusing the two companies of colluding to limit competition in the fast-growing AI industry.
Allegations of Anti-Competitive Behavior
According to the complaint, Musk alleges that Apple and OpenAI have formed an agreement that unfairly advantages OpenAI’s technology by embedding it into Apple’s systems. The lawsuit calls OpenAI a “monopolist in the market for generative AI chatbots” and claims Apple is protecting its smartphone dominance by partnering with OpenAI, leaving little room for other AI rivals to gain visibility.
This is a remarkable claim given what I have heard alleged that Elon does to manipulate X to benefit himself and his own companies and harm his competitors and people he doesn't like. https://t.co/HlgzO4c2iC
— Sam Altman (@sama) August 12, 2025
Earlier this month, Musk had posted similar accusations on X, arguing that it was “impossible for any AI company besides OpenAI to reach #1 in the App Store.”
Musk vs. Altman: A Long Feud
This lawsuit marks the latest clash between Musk and Sam Altman, CEO of OpenAI. Musk previously sued to challenge OpenAI’s move toward a for-profit model and even made a rejected $97.4 billion bid to acquire the company outright. Both leaders have frequently traded public criticisms, with Altman recently suggesting Musk manipulates X to advance his own interests.
Apple–OpenAI Partnership
Apple and OpenAI announced their partnership in June 2025, saying new ChatGPT-powered features would arrive on Apple devices later in December.
As of now, Apple and OpenAI have not provided comments in response to Musk’s lawsuit.