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Elon Musk’s xAI Threatens Legal Action Against Apple Over Alleged App Store Antitrust Violations Favoring OpenAI

TLDR: Elon Musk’s artificial intelligence company, xAI, has announced it will pursue immediate legal action against Apple. Musk accuses the tech giant of antitrust violations, claiming Apple’s App Store practices make it impossible for any AI company other than OpenAI to achieve the top ranking, citing Apple’s partnership with OpenAI as a key factor.

Billionaire entrepreneur Elon Musk, founder and CEO of xAI, declared on August 11, 2025, that his artificial intelligence venture would initiate immediate legal proceedings against Apple. Musk alleges that Apple is engaging in anti-competitive behavior within its App Store, specifically by creating an environment where only OpenAI’s AI applications can realistically attain the number one spot.

In a post on his social media platform X, Musk stated, ‘Apple is behaving in a manner that makes it impossible for any AI company besides OpenAI to reach #1 in the App Store, which is an unequivocal antitrust violation. xAI will take immediate legal action.’ He did not immediately provide specific evidence to substantiate his claims, and Apple, OpenAI, and xAI have not yet responded to requests for comment regarding the impending lawsuit.

Musk’s accusations stem from the current landscape of the App Store’s AI rankings. Data from Sensor Tower indicates that OpenAI’s ChatGPT currently holds the leading position in the ‘Top Free Apps’ section for iPhones in the United States. In contrast, xAI’s Grok, a competing AI chatbot, is ranked fifth, while Google’s Gemini chatbot sits significantly lower at 57th. ChatGPT also reportedly leads the rankings on the Google Play Store.

A central point of contention for Musk appears to be Apple’s recent partnership with OpenAI, which involves the integration of ChatGPT into iPhones, iPads, and Macs as part of the new Apple Intelligence rollout. This collaboration, according to Musk, gives OpenAI an unfair advantage.

Beyond AI applications, Musk also questioned Apple’s editorial choices, specifically the ‘Must Have Apps’ section. He queried, ‘Hey @Apple App Store, why do you refuse to put either X or Grok in your ‘Must Have’ section when X is the #1 news app in the world and Grok is #5 among all apps? Are you playing politics?’

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This development comes amidst increasing scrutiny from regulators and rivals concerning Apple’s stringent control over its App Store. A US judge ruled in April that Apple had violated a court order regarding App Store competition, referring the company for a criminal contempt investigation in a case initiated by Epic Games, the maker of Fortnite. While Elon Musk has a history of threatening legal action without always following through, his latest move underscores the intensifying competition and regulatory challenges in the burgeoning AI and tech sectors.

Dev Sundaram
Dev Sundaramhttps://blogs.edgentiq.com
Dev Sundaram is an investigative tech journalist with a nose for exclusives and leaks. With stints in cybersecurity and enterprise AI reporting, Dev thrives on breaking big stories—product launches, funding rounds, regulatory shifts—and giving them context. He believes journalism should push the AI industry toward transparency and accountability, especially as Generative AI becomes mainstream. You can reach him out at: [email protected]

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