Published: August 25, 2025 ✍️ Author: Global Technology & Business Desk – Global World Citizen 🌐 Source: GlobalWorldCitizen.com
AUSTIN, TEXAS – Billionaire entrepreneur Elon Musk has escalated his feud with Big Tech, as his AI startup xAI filed a lawsuit against Apple and OpenAI, accusing the companies of collusion, antitrust violations, and manipulation of the App Store to stifle AI competition.
The lawsuit, filed in the Northern District of Texas, alleges that Apple and OpenAI are “locking up markets to maintain monopolies” and preventing rival AI apps like Musk’s Grok chatbot from reaching top positions in the App Store.
Key Claims in the Lawsuit
Market Lock-Up: Musk’s legal team argues that Apple and OpenAI struck a deal in June 2024 to integrate ChatGPT into iOS, effectively giving OpenAI exclusive access to billions of prompts from iPhone users worldwide.
App Store Manipulation: The suit claims that Apple is deliberately downgrading rankings of Musk’s X and Grok AI apps, while delaying update approvals to hurt growth.
Visibility Bias: Despite ranking No. 1 in the News category (X) and No. 2 in Productivity (Grok), neither app appears in the App Store’s “Top Free Apps” or “Must-Have Apps” sections — sections that drive the highest user downloads.
Threat to Apple’s Business: xAI says its “super app vision” — combining messaging, financial services, e-commerce, and AI-powered tools — poses an existential threat to Apple’s iPhone ecosystem, making Apple incentivized to block growth.
Musk’s Criticism
Musk has repeatedly accused Apple of anticompetitive practices, calling the App Store a “gatekeeper monopoly” that unfairly favors OpenAI’s ChatGPT.
“Apple is behaving in a manner that makes it impossible for any AI company besides OpenAI to reach No. 1 in the App Store,” Musk declared earlier this month.
He insists this is an “unequivocal antitrust violation” that threatens the future of innovation in AI.
Responses from Apple & OpenAI
OpenAI’s stance: Spokesperson Kayla Wood dismissed the case, calling it part of Musk’s “ongoing pattern of harassment.”
Apple: Has not issued an immediate public response.
Industry observers: Point out that other AI apps, including China’s DeepSeek AI, have temporarily reached the No. 1 spot in the App Store, which may complicate Musk’s claims.
Background and Context
In June 2024, Apple announced a partnership with OpenAI, integrating ChatGPT directly into its iOS ecosystem. Musk denounced the move as a monopolistic alliance.
Musk left OpenAI in 2018 after clashing with co-founder Sam Altman. Since then, he has repeatedly criticized the company for straying from its open-source mission.
Musk launched xAI and its Grok chatbot in 2023 to rival ChatGPT, promising a more transparent and uncensored AI.
The lawsuit marks Musk’s latest move in his broader tech war against Apple, OpenAI, and Microsoft.
GlobalWorldCitizen.com Insight
This lawsuit underscores the growing battles in the trillion-dollar AI industry:
For Musk: It’s a fight to push xAI and Grok AI into the mainstream despite Apple and OpenAI’s dominance.
For Apple: It’s about protecting the iPhone ecosystem and ensuring AI enhances — not replaces — its hardware-centric business model.
For OpenAI: It’s another challenge to its Microsoft-backed rise as the leader of generative AI.
For consumers: The outcome could reshape AI accessibility, app store fairness, and global competition in emerging tech.
With regulators worldwide already eyeing Big Tech’s antitrust issues, this case could trigger landmark rulings that redefine how AI apps are distributed and monetized globally.