Musks AI War Expands to Include Apple

Elon Musk's long-running feud with OpenAI has officially pulled in a new heavyweight: Apple.

The Feud Expands: Musk vs. Apple and OpenAI

The latest conflict ignited when the xAI CEO accused Apple of unfairly promoting OpenAI’s ChatGPT in its App Store, disadvantaging his own Grok chatbot. Musk publicly labeled the situation an “unequivocal antitrust violation” and signaled potential legal action. This quickly prompted a response from OpenAI CEO Sam Altman, a central figure in the ongoing dispute with Musk. Altman called the accusation a “remarkable claim” and fired back, accusing Musk of leveraging his own platform, X (formerly Twitter), to benefit his companies while harming competitors.

Apple has refuted Musk's allegations. In a statement to news outlets, a spokesperson emphasized that the App Store is designed for fairness, stating, “We feature thousands of apps through charts, algorithmic recommendations, and curated lists selected by experts using objective criteria.” However, critics, including some X users and even Musk's Grok chatbot, pointed out that other AI apps like DeepSeek and Perplexity have previously held the top spot, seemingly weakening Musk's claim of bias.

At the Core of the Conflict: The Apple-OpenAI Deal

The tension seems to stem from a significant deal made in mid-2024 that integrates ChatGPT directly into Apple's ecosystem. This partnership embeds the chatbot into Siri and system-wide writing tools on an opt-in basis, meaning users must give permission before any queries are sent. While no OpenAI account is needed and Apple has stated its intention to support other AI models in the future, the deal gives ChatGPT a powerful, native position on millions of Apple devices. This default integration could make it significantly harder for competitors like Musk's xAI to capture user attention.

This trend isn't unique to Apple. With Google actively weaving its Gemini AI into Android, the mobile AI landscape is increasingly being defined by these built-in solutions. When the Apple-OpenAI deal was first announced, Musk expressed his frustration on X, calling it “patently absurd that Apple isn’t smart enough to make their own AI, yet is somehow capable of ensuring that OpenAI will protect your security & privacy!” He even threatened to ban all Apple devices from his companies if the OpenAI integration went through.

A Wider Pattern? Apple's Antitrust Battles

This new accusation from Musk lands while Apple is already navigating several other high-stakes antitrust challenges. The App Store's role as a primary distribution platform has long been a source of contention.

In a well-known case, Epic Games sued Apple in 2020 after Fortnite was removed from the App Store for circumventing Apple's 30% commission on payments. A court has since ordered Apple to allow developers to link to external payment options. More recently, the U.S. Justice Department filed a major antitrust lawsuit accusing Apple of monopolizing the smartphone market through restrictive App Store policies. Apple's attempt to have this lawsuit dismissed was denied in June.

Furthermore, a separate DOJ case against Google could impact Apple significantly. A judge found that Google maintained its search monopoly partly through exclusive deals, including its multi-billion dollar agreement to be the default search engine on Apple devices. According to analysis from JPMorgan, an unfavorable ruling on remedies in that case could cost Apple billions annually.