Surprise, surprise—Elon Musk is making all the right moves. The same CEO of xAI has recently filed a lawsuit against Apple and OpenAI, alleging that they engaged in unfair business practices related to their App Store monopoly. This legal action comes on the heels of Musk’s longstanding criticisms of both companies, particularly after they announced a partnership last year that integrated OpenAI’s ChatGPT into Apple’s Siri.
Musk has repeatedly made known his frustration with Apple’s control of the App Store, which he argues suffocates competition with its restrictive policies. The current lawsuit is an attack on this exclusive deal between Apple and OpenAI. Musk has said this agreement limits the quality and quality of his platforms, including X. Musk’s main target seems to be the 30% commission structure that prohibits creators from earning iOS subscriptions their full value.
Background of the Dispute
Elon Musk, one of the original founders of OpenAI, has been sociopathically skeptical of OpenAI since its formation, claiming that it is taking the wrong path and hurting innovation. His critiques got even louder when Apple and OpenAI paired up, bringing OpenAI’s ChatGPT powers to Siri. Musk’s statements back then were a foreshadowing of his fear about how this partnership would centralize control over access to cutting-edge AI technology.
In 2021, Musk went so far as publicly attacking Apple’s App Store commission rates, accusing the company of theft. Specifically, he claimed that these rates create a disproportionate advantage to Apple while restricting new and innovative developers like xAI and their productivity-related apps. This sentiment echoes his broader critique of Apple’s business practices, which he believes “lock up markets to maintain their monopolies and prevent innovators like X and xAI from competing.”
Reactions from Industry Leaders
Sam Altman, the CEO of OpenAI, responded to Musk’s latest shots. He recommended that when you don’t agree with Musk, that X is distorted according to Musk’s interests. Altman stated:
“This is a remarkable claim given what I have heard alleged that Elon does to manipulate X to benefit himself and his own companies and harm his competitors and people he doesn’t like.”
Altman’s remarks indicate a growing tension between the two tech leaders, as Musk’s lawsuit positions xAI directly against the established giants of the industry.
The Legal Battle Ahead
We’re suing Musk and xAI on their behalf. They argue that Apple and OpenAI can purposefully aim their products at the App Store. Musk contends that the secretive deal between these companies is killing xAI. It further harms the non-Microsoft developers who are just trying to compete on a level playing field in the marketplace.
Musk is going for the jugular on Apple’s App Store practices. He’s pushing for a lowering of commission fees. He wants to reduce these costs to give creators on X more ways to monetize their content, giving them a better chance to cash in on their creativity.
