Elon Musk’s artificial intelligence startup xAI has filed a lawsuit against Apple and OpenAI in US federal court in Texas, accusing the two companies of conspiring to stifle competition in the AI sector.

The complaint alleges that Apple and OpenAI “locked up markets to maintain their monopolies and prevent innovators like X and xAI from competing.” According to xAI, the companies colluded to suppress its products on the Apple App Store.

“If not for its exclusive deal with OpenAI, Apple would have no reason to refrain from more prominently featuring the X app and the Grok app,” the filing stated.

Neither Apple nor OpenAI immediately responded to requests for comment.

The lawsuit follows recent remarks from Musk, who earlier this month threatened legal action against Apple. In a post on his social media platform X, Musk claimed Apple’s practices “make it impossible for any AI company besides OpenAI to reach #1 in the App Store.”

Apple has partnered with OpenAI to integrate ChatGPT into its iPhones, iPads, and Macs.

Musk’s company xAI, founded less than two years ago, acquired X in March for $33 billion to strengthen its chatbot training capacity. The firm has also integrated its Grok chatbot into Tesla vehicles. xAI competes directly with Microsoft-backed OpenAI and Chinese startup DeepSeek.

Musk is also pursuing separate litigation against OpenAI and its CEO Sam Altman in California, seeking to block its transformation from a nonprofit to a for-profit entity. Musk co-founded OpenAI with Altman in 2015 as a nonprofit organisation.

Apple’s App Store policies have long faced scrutiny. In a separate case brought by Fortnite maker Epic Games, a judge ordered Apple to permit greater competition in app payment systems.

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