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Musk’s xAI and X Sue Apple, OpenAI Over Alleged Antitrust Pact Tied to ChatGPT on iPhones

The Texas filing challenges Apple's ChatGPT integration as unlawful favoritism in distribution.

Image
Elon Musk attends the opening ceremony of the new Tesla Gigafactory for electric cars in Gruenheide, Germany, March 22, 2022. Patrick Pleul/Pool via REUTERS/File Photo
FILE - Elon Musk attends a news conference with President Donald Trump in the Oval Office of the White House, May 30, 2025, in Washington. (AP Photo/Evan Vucci, file)
Elon Musk passed Facebook co-founder Mark Zuckerberg Monday on the world’s wealthiest list as shares of Tesla Inc. continued their unrelenting rally after undergoing a forward stock split. Musk on Monday was worth $111.3 billion compared with $110.5 billion for Zuckerberg, according to the Bloomberg Billionaires Index, which is updated at the end of each market day. (File photos: Susan Walsh and Andrew Hornick/AP)

Overview

  • xAI and X filed a 61-page antitrust complaint on August 25 in the U.S. District Court for the Northern District of Texas seeking billions in damages, a permanent injunction, and a jury trial.
  • The suit alleges an Apple–OpenAI deal made ChatGPT the only generative chatbot integrated into iOS, granting OpenAI access to billions of iPhone-sourced prompts.
  • Plaintiffs claim Apple manipulated App Store rankings, featuring, and review timing to disadvantage X and xAI’s Grok, including exclusion from sections like “Must-Have Apps.”
  • The complaint cites market-share assertions that Apple holds about 65% of the U.S. smartphone market and OpenAI controls 80%+ of the generative chatbot market.
  • OpenAI called the filing part of Musk’s “ongoing pattern of harassment,” and Apple offered no detailed response beyond prior statements that its App Store is fair and free of bias.