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Musk’s xAI Resolves Claims Against Apple Over AI Competition

Elon Musk's xAI and X Corp. asked a federal judge in Texas on Monday to approve the voluntary dismissal of their antitrust lawsuit against Apple Inc., which had accused the iPhone maker of favoring OpenAI's ChatGPT over rival chatbot makers. The companies said their claims against OpenAI in the same suit, filed in August seeking billions of dollars, have not been settled. Apple and OpenAI have denied the claims, and Apple sued OpenAI for trade secret theft in July.

by read2 min views1 publishedSep 14, 2026
Musk’s xAI Resolves Claims Against Apple Over AI Competition
Image: Ca (auto-discovered)

(Bloomberg) -- Elon Musk's xAI and X Corp. said they resolved an antitrust lawsuit against Apple Inc. that accused the iPhone maker of favoring OpenAI's ChatGPT over other chatbot makers.

Most Read from Bloomberg

In a Monday filing the two companies, both owned by Musk's SpaceX, asked for approval from a federal judge in Texas to voluntarily dismiss the case.

However, the companies said the claims against OpenAI in the same lawsuit have not been settled. The suit accuses the AI company of maintaining an unlawful monopoly over the chatbot market through anti-competitive conduct.

Musk's companies filed the suit in August, seeking billions of dollars over claims that Apple's decision to integrate OpenAI into the iPhone's operating system inhibits competition and innovation within the AI industry and harms consumers by depriving them of choice.

Representatives for Musk's companies and Apple and OpenAI didn't immediately return requests for comment.

Apple and OpenAI have denied the claims, arguing that their arrangement — which let users access ChatGPT results within Siri and use the AI technology as part of certain iPhone features — was never exclusive. OpenAI also described the lawsuit as part of a pattern of harassment by Musk against the firm he co-founded and then left.

Much has changed since the lawsuit was filed.

Apple and OpenAI's relationship has soured significantly in the two years since it was first announced. In May, Bloomberg reported that OpenAI was exploring legal options against Apple after failing to see expected benefits from their arrangement.

In July, Apple sued OpenAI for trade secret theft and accused the company and its hardware chief of engaging in a coordinated campaign to steal information about upcoming products.

The case is X Corp. et al v. Apple Inc., US District Court, Northern District of Texas (Fort Worth).

--With assistance from Carmen Arroyo. Most Read from Bloomberg Businessweek

©2026 Bloomberg L.P.

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