US Federal Judge Allows X Corp Lawsuit Against Apple and OpenAI to Proceed

A United States federal judge has refused to dismiss a lawsuit brought by Elon Musk’s X Corp against Apple and OpenAI, allowing the case to move forward for the time being.

 

In a ruling issued in Fort Worth, Texas, US District Judge Mark Pittman said Musk’s social media platform X and his AI start-up xAI may continue with their claims that Apple and OpenAI conspired to monopolise the markets for smartphones and generative AI chatbots. The decision marks an initial procedural win for the billionaire in an intensifying battle for dominance in the artificial intelligence sector.

 

Judge Pittman emphasised that his order should not be interpreted as a judgement on the merits of X Corp’s allegations, adding that factual disputes will be addressed at a later stage in the proceedings.

 

OpenAI, in a statement on Thursday, described the lawsuit as “consistent with Musk’s ongoing pattern of harassment”, adding that it looks forward to demonstrating this in court.

 

X Corp’s complaint, filed in August, alleges that Apple violated antitrust laws by exclusively integrating ChatGPT into its Apple Intelligence features on iPhones and other Apple devices. The lawsuit claims Apple unlawfully excluded competitors through its partnership with OpenAI.

 

X and xAI further allege that Apple strengthened this exclusivity by placing ChatGPT on its “Must-Have Apps” list while relegating rival offerings within the App Store. Apple, seeking dismissal, argued that its arrangement with OpenAI is not exclusive and that the lawsuit has failed to show any agreement preventing Apple from working with other chatbots.

 

“Choosing one partner first is not unlawful,” Apple told the court.

Apple denied engaging in any anti-competitive conduct, noting that other chatbots remain accessible via browsers and standalone apps, and that both X and Grok continue to rank prominently in App Store charts.

 

In its response to the lawsuit, OpenAI accused Musk of waging “a campaign of lawfare” against the company and its flagship product, ChatGPT. Musk is also pursuing a separate legal action against OpenAI and its leadership in a federal court in California.

 

ChatGPT became the fastest-growing consumer application in history shortly after its late-2022 launch.

 

Musk’s xAI acquired X in March for Dh33 billion to bolster its chatbot training capabilities. Musk has also integrated the Grok chatbot into Tesla vehicles produced by his electric car company.

 

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