X Corp. and Apple settle antitrust lawsuit over alleged OpenAI favoritism in App Store
Elon Musk's X Corp. and SpaceX settled their antitrust lawsuit against Apple in Texas federal court on Monday. Musk moved to dismiss the case with prejudice and Apple agreed, though neither party disclosed the terms of the settlement. The lawsuit, originally filed in August 2025, alleged Apple favored OpenAI's ChatGPT in its App Store and integrated it into iPhone, iPad, and Mac products at the expense of competing AI services including Musk's Grok.
Single source · Not corroborated
X Corp. and SpaceX filed suit against Apple in August 2025, alleging the company gave OpenAI an unfair competitive advantage by placing ChatGPT directly in front of millions of customers through App Store integration with iPhone, iPad, and Mac devices. Musk's companies also accused Apple of blocking other generative AI companies from reaching top App Store rankings. The companies had sought billions of dollars in damages.
Apple and OpenAI denied all allegations, with Apple arguing its agreement with OpenAI was not exclusive and did not prevent the company from partnering with other AI developers. Both companies had sought dismissal of the case before the settlement was reached.
The settlement, filed Monday in Texas federal court, closes the Apple chapter of the dispute. Musk moved to dismiss the case with prejudice — meaning it cannot be refiled — and Apple agreed. No terms were disclosed publicly by either party, according to the Washington Examiner.