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Elon Musk’s AI Company Takes Legal Action Against App Developer

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Tesla Inc TSLA CEO Elon Musk and OpenAI CEO Sam Altman. the AFP Union

Tesla CEO Elon Musk’s AI company, xAI, has filed a lawsuit against Apple and OpenAI, alleging anti-competitive practices in the AI sector. The lawsuit, submitted in Texas, claims Apple is favoring OpenAI by pre-installing its AI model on devices and sidelining competitors, including xAI’s app, Grook, from app store rankings. Musk describes Apple’s actions as an attempt to protect its smartphone monopoly and maintain OpenAI’s dominant market position in generative AI chatbots. He accuses Apple of violating antitrust laws by limiting opportunities for other AI firms. OpenAI CEO Sam Altman responded, suggesting that Musk’s claims of manipulation are ironic, given Musk’s own history with X. The lawsuit is part of ongoing tensions between Musk and Altman, stemming from Musk’s criticisms and previous legal disputes over OpenAI’s trajectory after its shift away from non-profit operations. Apple has not publicly commented on the lawsuit.

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