Musk sues Apple over AI app favoritism, antitrust claims
Tech titan Elon Musk’s artificial intelligence startup, xAI, has declared its intent to take legal action against Apple, alleging “unequivocal antitrust violations” in how the tech giant manages its App Store. The core of Musk’s accusation, announced via a post on his platform X on Monday, centers on Apple’s perceived favoritism towards OpenAI’s ChatGPT, claiming it stifles competition and prevents rival AI applications like xAI’s Grok from achieving top rankings.
This legal challenge comes hot on the heels of Apple’s June 2024 partnership with OpenAI, which saw ChatGPT, powered by GPT-4o, deeply integrated into Apple’s core operating systems, including Siri and Writing Tools. Musk argues that this deep integration provides an unfair advantage, allowing seamless user access without requiring separate app downloads, thereby sidelining competitors. He specifically questioned why Apple’s App Store refuses to feature X or Grok in its “Must Have” or dedicated “AI” sections, despite X being the number one news app and Grok ranking as high as fifth or sixth among all free apps. Musk further asserted that Grok, which he claims is the “smartest AI in the world on the toughest tests” and recently excelled in coding benchmarks, remains conspicuously absent from Apple’s curated AI recommendations.
The allegations sparked a sharp retort from OpenAI CEO Sam Altman, who pointed to past accusations of Musk manipulating X’s own algorithm to benefit his companies and disadvantage competitors. This exchange highlights the intense rivalry in the burgeoning AI landscape, where platform visibility can be crucial for an application’s success.
While Musk contends that Apple’s actions make it “impossible for any AI company besides OpenAI to reach #1 in the App Store,” evidence suggests otherwise. For instance, Chinese AI startup DeepSeek’s model achieved the number one spot on the App Store’s Top Free Apps chart in January 2025, and Perplexity topped India’s charts in July 2025. Both instances occurred well after Apple formalized its partnership with OpenAI, tempering the narrative of an impenetrable OpenAI monopoly on the App Store.
Musk’s planned lawsuit adds another layer of legal pressure on Apple, which is already under intense scrutiny from regulators worldwide over its App Store practices. In June 2025, a U.S. federal judge allowed an antitrust lawsuit against Apple to proceed, alleging false advertising and unfair competition related to “delayed Apple Intelligence features.” Furthermore, in April, a U.S. judge ruled that Apple violated a court order to open its App Store to greater competition, a ruling stemming from the high-profile Epic Games lawsuit. This also led to a referral for a criminal contempt probe. The European Union also levied a €500 million fine against Apple in April for violating the Digital Markets Act, specifically citing restrictions that prevent developers from directing users to cheaper offers outside the App Store, a decision Apple is currently appealing. The U.S. Department of Justice also filed a civil antitrust lawsuit against Apple in March 2024, accusing the company of monopolizing smartphone markets by hindering “innovative super apps” and suppressing mobile cloud streaming services.
This isn’t the first time Musk has clashed with Apple or OpenAI. He was a co-founder of OpenAI before a contentious split and later sued the company over its transition to a for-profit model. He also previously threatened to ban Apple devices from his companies if OpenAI’s technology was integrated directly into Apple’s operating systems.
The looming legal battle between xAI and Apple underscores the escalating tensions between platform gatekeepers and AI developers. While Apple maintains its App Store policies are essential for user experience, security, and quality, the outcome of this lawsuit could significantly reshape the future of AI accessibility, app distribution fairness, and competition laws within the rapidly evolving technology sector.