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Elon Musk Sues Apple Over iPhone Integration of OpenAI’s ChatGPT

By  |  August 25, 2025

Elon Musk has launched a sweeping lawsuit against Apple Inc. and OpenAI, claiming the two companies have engaged in anticompetitive practices that limit consumer choice and stifle competition in the fast-growing artificial intelligence industry. According to Bloomberg, the case was filed Monday in federal court in Fort Worth, Texas, by Musk’s X Corp. and xAI Holdings, which are seeking billions of dollars in damages.

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    The lawsuit argues that Apple’s integration of OpenAI’s ChatGPT into the iPhone’s operating system unfairly prevents other chatbot developers from gaining visibility in the App Store. Musk alleges that this arrangement grants OpenAI exclusive access to a global distribution platform, undermining innovation and harming rival AI companies. Per Bloomberg, Musk contends that Apple has effectively made it impossible for competing chatbots to rise in app rankings, a key driver of growth for developers.

    Musk’s companies assert that the Apple–OpenAI partnership has created a monopoly by embedding ChatGPT as the sole generative AI chatbot within the iPhone. The complaint says this arrangement “locked up markets to maintain their monopolies and prevent innovators like X and xAI from competing.” According to Bloomberg, the billionaire entrepreneur believes Apple’s conduct mirrors broader allegations the Justice Department has leveled against the iPhone maker in an ongoing antitrust case.

    Related: Musk Says Coalition of Tech Firms Supports His Case Against Apple

    The legal battle marks a dramatic escalation in Musk’s long-running feud with OpenAI and its chief executive, Sam Altman. Musk co-founded OpenAI nearly a decade ago but departed after disputes with Altman. OpenAI has dismissed the lawsuit as part of what it called Musk’s “ongoing pattern of harassment.” Apple, for its part, has not issued an immediate response to the complaint.

    The case also intersects with Apple’s history of regulatory clashes. In recent years, the company has faced lawsuits and government scrutiny over its App Store policies, most notably in its extended legal fight with Epic Games. The Justice Department likewise filed a lawsuit in 2023 alleging Apple abused its dominance by blocking competitors from accessing key features and limiting consumer options.

    In addition to financial damages, Musk’s suit seeks a court injunction that would prevent Apple and OpenAI from continuing what he describes as an “illegal arrangement.” The dispute underscores the mounting tension between technology giants over control of the next era of mobile software and AI integration.

    The case is titled X Corp. et al v. Apple Inc., and is being heard in the U.S. District Court for the Northern District of Texas in Fort Worth.

    Source: Bloomberg