Apple has strongly pushed back against a lawsuit from Elon Musk’s AI venture xAI, arguing that its alliance with OpenAI did not damage competition and that claims by xAI lack legal merit (via Bloomberg).
In court filings filed Tuesday, Apple asked a U.S. judge to throw out xAI’s suit which accuses Apple and OpenAI of conspiring to marginalize Musk’s chatbot Grok and X app in the App Store.
The lawsuit, initiated by xAI in August, centers on allegations that Apple used an exclusive arrangement with OpenAI to prevent Grok and X from achieving favorable placement or visibility in its app marketplace. xAI asserts that the integration of ChatGPT into Apple’s ecosystem has unfairly shut out rival AI platforms.
Apple counters that the agreement with OpenAI is publicly known and explicitly nonexclusive. Its legal team emphasizes that Apple intends to collaborate with multiple generative AI providers in the future. It also maintains that the complaint from xAI fails because it does not plausibly show how ChatGPT integration undermines competition.
A key point in Apple’s argument is that antitrust law does not compel it to forge partnerships with every AI chatbot possible. The company contends that xAI’s case rests on a chain of speculation rather than concrete evidence.
Apple has already woven ChatGPT into its iPhone, iPad, and Mac operating systems as part of its AI strategy. xAI’s suit posits this move gives OpenAI a data advantage and locks out meaningful competition. As part of its defense, Apple asked the court to dismiss the case entirely, arguing that xAI’s claims are speculative and insufficient as a matter of law.
To provide context, Elon Musk earlier this year publicly accused Apple of antitrust violations, asserting that Apple’s App Store rankings had blocked AI rivals from reaching top visibility. He described the practice as unfairly favoring ChatGPT over Grok.
In its complaint, xAI demanded billions in damages and sought injunctive relief that might force a restructure of Apple’s AI partnerships. OpenAI did not oppose Apple’s motion to dismiss, joining Apple’s position that the agreement is not exclusive and that Apple retains freedom to work with other AI systems.
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