In a federal court case unfolding in Texas, Apple and the AI heavyweight OpenAI both filed legal motions this week urging the judge to toss out Elon Musk’s multi-billion-dollar lawsuit over alleged unfair practices in the booming AI industry. Musk, founder of both xAI and the social giant X, claims that Apple’s collaboration with OpenAI in rolling out ChatGPT on iPhones, iPads, and Macs, unfairly blocks other AI apps like Grok and X from a level playing field in the App Store rankings.
But Apple’s lawyers aren’t having none of that. The official paperwork shot down the notion of any “exclusive” deal, what Musk’s filing claims stands in the way of healthy competition. “Apple and OpenAI’s agreement is expressly not exclusive,” the company’s legal team wrote, adding it’s widely known that new deals with other generative AI chatbots are already planned. There ain’t no lockout happening, they said.
Musk’s lawsuit also insists that Apple and OpenAI are tying up the competitive market, putting a squeeze on innovation, and keeping X and xAI out of sight for millions of users. But Apple fired back, saying antitrust laws didn’t demand they partner “with every other generative AI chatbot,” no matter their stage, quality, or other technical problems. Just because Apple picked OpenAI first for integration doesn’t mean others don’t get a turn when the tech is ready and safe, legal filings argue.
OpenAI, which Musk himself helped start back in 2015 before stepping away, found itself at the sharp end of Musk’s legal complaints from more than one direction. OpenAI’s lawyers say Musk’s attacks are part of what they call a “campaign of lawfare”—meaning repeated legal action—against them. In official filings, OpenAI asserts that Musk’s claims are speculation without proof of actual, direct harm, especially not the kind antitrust rules target. They stress that the lawsuit is based on conjecture and not hard evidence.
Court papers highlight that Musk is also suing OpenAI and CEO Sam Altman in California, aiming to keep the group non-profit. But for the Texas case, both OpenAI and Apple stand firm, requesting prompt dismissal. So far, xAI hasn’t commented on the motion outside business hours, leaving questions open about their next move.
Industry insiders and legal experts reckon this case could affect how tech companies pick AI partners moving forward. Some say the tech giants should be free to collaborate as long as they don’t block out others unfairly. Others worry about big industry players keeping smaller challenger apps out of the spotlight—the exact issue Musk wants addressed.
Public reaction is mixed. Some support Musk, arguing competition keeps tech honest. Others call the lawsuit sour grapes, just a billionaire frustrated at not being first in line. On social media, debates swirl about whether App Store rankings really get “rigged” by exclusive deals, or if technical merit and user experience win out.
Most experts see the case as a test of the future for generative AI, App Store policies, and broader tech industry competition. If the judge tosses the suit, Apple and OpenAI may press ahead with new partnerships, possibly including other big names like Google and its Gemini AI tools. If Musk’s claims get traction, tech companies might have to rethink how they integrate AI, especially for default apps on popular devices.
In sum, both Apple and OpenAI are unequivocal in their legal filings: there is no exclusive deal crowding out competition. They say the lawsuit is built on weak, hypothetical arguments, with no clear evidence of harm. Whether the court agrees—and how that shapes future AI business deals—remains to be seen, but for now, the battle lines are drawn in a legal scrap likely to shape tomorrow’s tech.
(Source: cnbc, indianexpress, channelnewsasia, theverge)
