Musk asserts that Apple and OpenAI’s monopolistic collaboration disadvantages his own AI chatbot, Grok, by preventing it from ranking higher in the App Store alongside ChatGPT, which relies on user interactions to improve.
Key points of the xAI lawsuit
In the Texas lawsuit, Musk’s AI startup, xAI, claims that Apple limits competition in its App Store by not allowing other chatbots to rank higher than ChatGPT. This, according to Musk, “locks up markets” and prevents innovators like xAI from competing.
“Without its exclusive deal with OpenAI, Apple would have no reason to not feature the Grok app more prominently in its App Store,” stated Musk on his social media platform, X.
Both Apple and OpenAI deny the accusations, stating that their collaboration is fair and not meant to favor one company over another.
The significance of Musk’s AI lawsuit
OpenAI’s ChatGPT rapidly became the most successful consumer app in history following its release in late 2022. Musk’s AI startup, xAI, entered the market in March 2023 after acquiring social media platform X for $33 billion, intending to use it to improve its chatbot capabilities.
The lawsuit is seen as a significant moment for US courts to determine if a defined market for AI exists and, if so, how it should be regulated. Legal experts closely monitor the case, considering it an early indicator for how courts will address AI, antitrust, and market monopolies.
This article was edited by Saim Dušan Inayatullah