Musk’s Companies Sue Apple, OpenAI Over Alleged Monopoly Deal

‎‎Two technology firms owned by billionaire Elon Musk have filed a lawsuit against Apple and OpenAI in the United States, accusing them of colluding to suppress competition in the artificial intelligence market.

Exclusive Partnership Questioned

‎The suit, lodged in a federal court in Texas by Musk’s X (formerly Twitter) and his AI start-up xAI, challenges Apple’s 2024 decision to integrate OpenAI’s ChatGPT into its iPhones and other devices.

‎Musk’s companies argue that the exclusive arrangement gives OpenAI an unfair advantage, particularly in the Apple App Store.

‎According to the filing, the partnership gives OpenAI access to the data of millions of Apple users and boosts ChatGPT’s visibility ahead of rival AI chatbots.

Bitter Rivalry Resurfaces

‎Elon Musk co-founded OpenAI in 2015 alongside current CEO Sam Altman, but their relationship has since broken down.

‎Musk has accused Altman of steering OpenAI away from its founding mission of advancing AI for the public good.

‎The rift deepened after Musk launched his own AI ventures, including xAI and Grok, a chatbot positioned as a competitor to ChatGPT.

Monopoly Concerns

‎The lawsuit claims Apple and OpenAI’s deal “foreclosed competition,” reduced innovation, and strengthened both companies’ dominance.

‎OpenAI is said to control about 80 percent of the US chatbot market, while Apple commands roughly 65 percent of the smartphone market.

‎Apple has previously denied bias in its App Store policies, pointing out that rival apps such as DeepSeek and Perplexity have also performed strongly.

‎Reports also suggest Apple is exploring partnerships with Google to use its Gemini chatbot for Siri.

Responses

‎Apple has not commented on the suit, while OpenAI dismissed the case as part of what it described as Musk’s “ongoing pattern of harassment.”

‎The case adds to a series of legal challenges against major US tech firms over monopoly concerns, including a landmark antitrust suit against Google.

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