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 suit, originally filed in August 2025, alleged Apple gave OpenAI's ChatGPT an unfair competitive advantage.
Single source · Not corroborated
X Corp. and SpaceX filed suit against Apple in August 2025, alleging that Apple's integration of OpenAI's ChatGPT into its iPhone, iPad, and Mac products gave the rival AI model an unfair advantage over Musk's Grok AI. The companies also alleged Apple blocked competing generative AI companies from reaching the top of App Store rankings. Musk's companies had sought billions of dollars in damages.
Apple and OpenAI denied the allegations. Apple argued that its agreement with OpenAI was not exclusive and did not prevent it from partnering with other AI developers. Both companies had sought to have the lawsuit dismissed before the settlement was reached.
The settlement, filed in Texas federal court on Monday, ends the Apple portion of the legal dispute. The motion to dismiss was filed with prejudice, meaning X Corp. and SpaceX cannot refile those claims against Apple. No financial terms or other conditions of the agreement were disclosed by either side, according to the Washington Examiner.