On August 12, 2025, Apple responded to accusations from Elon Musk, CEO of Tesla, SpaceX, and xAI, who alleged that the company’s App Store unfairly promotes OpenAI’s ChatGPT over other AI applications, including his own chatbot, Grok. Musk claimed this favoritism constitutes an antitrust violation and threatened legal action. Apple firmly denied the allegations, asserting that its App Store operates impartially. This dispute highlights ongoing tensions in the AI industry and raises questions about app store fairness. This article examines the details of the controversy, Apple’s response, and the broader context of the AI market.
Musk’s Allegations Against Apple
Elon Musk, a prominent figure in the tech industry, took to X on August 11, 2025, to voice concerns about Apple’s App Store practices. He claimed that the platform deliberately prioritizes OpenAI’s ChatGPT, making it impossible for other AI apps, such as his company xAI’s Grok, to reach the top spot in the rankings. Musk described this as an unequivocal antitrust violation and stated that xAI would pursue immediate legal action, according to posts on X.
Musk further criticized Apple for excluding Grok and the X app from its Must Have section, despite X being the top news app globally and Grok ranking fifth among free apps in the U.S. App Store. He questioned whether Apple was playing politics by favoring ChatGPT, which currently holds the number one position on the free apps chart, as reported by Gizmodo. Musk suggested that Apple’s partnership with OpenAI, announced in June 2024, influences its ranking decisions, creating an uneven playing field for competitors.
Apple’s Response to the Claims
Apple swiftly addressed Musk’s accusations on August 12, 2025, telling Bloomberg’s Mark Gurman that the App Store is designed to be fair and free of bias. The company emphasized that its rankings, algorithmic recommendations, and curated lists are based on objective criteria, ensuring equal opportunities for developers. Apple stated that it collaborates with numerous developers to enhance app visibility across various categories, denying any preferential treatment for OpenAI’s ChatGPT, per MacRumors.
The company highlighted that its goal is to provide a safe and equitable platform for users to discover apps while supporting developers in rapidly evolving fields like AI. Apple also pointed out that another AI app, DeepSeek, reached the number one spot earlier in 2025, countering Musk’s claim that no AI app besides ChatGPT can achieve top rankings.
The Apple-OpenAI Partnership
The controversy stems in part from Apple’s strategic partnership with OpenAI, formalized in June 2024 during the Worldwide Developers Conference (WWDC). This collaboration integrates ChatGPT into Apple’s ecosystem, including iOS, iPadOS, and macOS, enhancing features like Siri and system-wide writing tools, as noted by TechSpot. The partnership has boosted ChatGPT’s visibility, with the app featured prominently in App Store editorial content and a dedicated widget for its GPT-5 model, launched in August 2025, according to Zee News.
This integration has drawn scrutiny from Musk, who argues that it gives ChatGPT an unfair advantage. He pointed to the app’s consistent top ranking and its inclusion in Apple’s Must Have section as evidence of bias. However, Apple maintains that its curation and ranking processes are transparent and based on user engagement, app performance, and objective editorial standards.
OpenAI’s Sam Altman Responds
OpenAI CEO Sam Altman addressed Musk’s accusations on August 12, 2025, via X, calling them “remarkable” given allegations that Musk manipulates X’s algorithms to favor his own ventures, including xAI and Grok. Altman’s response, reported by CNET, referenced claims that Musk prioritizes his posts on X, potentially skewing visibility for his companies. This exchange underscores a longstanding rivalry between Musk and Altman, who co-founded OpenAI in 2015 before Musk’s departure in 2018 over strategic differences.
Altman’s comments highlight the competitive dynamics in the AI sector, where companies vie for market dominance. ChatGPT, with 500 million weekly users and projected 2025 revenue of $13 billion, remains a leader, while Grok, launched in 2023, has gained attention for its unique tone and recent updates, including adult-themed content, per MacRumors.
Broader Context: Apple’s Antitrust Challenges
The dispute occurs against a backdrop of heightened regulatory scrutiny of Apple’s App Store practices. The company is currently appealing a ruling from its legal battle with Epic Games, which mandated changes to App Store rules to allow more competition, as reported by NDTV. Additionally, the U.S. Department of Justice has an ongoing antitrust lawsuit against Apple, focusing on its control over the app ecosystem. In April 2025, the European Union fined Apple €500 million for breaching the Digital Markets Act, further intensifying scrutiny, per iGeeksBlog.
Musk’s threat to sue adds to these challenges, potentially positioning the App Store as a new battleground in antitrust debates. His claims echo those of other developers who argue that Apple’s control over app rankings and curation stifles competition, particularly in emerging fields like AI, as noted by Gizmodo.
Competitive Dynamics in the AI Market
The AI chatbot market is highly competitive, with ChatGPT maintaining a strong lead since its 2022 debut. The app’s recent GPT-5 launch, accompanied by bonus payouts for about 1,000 OpenAI employees (one-third of its workforce), has further solidified its position, per Zee News. Grok, ranked fifth in the U.S. App Store and second in the Productivity category, has struggled to match ChatGPT’s dominance, despite updates like making Grok 4 free for all users, as reported by Madhyamam.
Other AI apps, such as DeepSeek and Google’s Gemini (ranked 57th), demonstrate that the App Store supports a range of AI offerings, undermining Musk’s claim of exclusive favoritism toward OpenAI. However, Apple’s integration of ChatGPT into its ecosystem has raised questions about market fairness, particularly as AI becomes a critical growth area, according to OpenTools.
Potential Legal and Market Implications
Musk’s threat of legal action, though not yet formalized, could escalate tensions in the AI and tech industries. A lawsuit would likely focus on antitrust laws, arguing that Apple’s partnership with OpenAI creates barriers for competitors. Legal experts suggest that Musk would need to provide concrete evidence of biased ranking practices to succeed, a challenge given Apple’s claim of objective criteria, per Stanford Law insights cited in a related context.
The dispute could also influence broader AI market dynamics, prompting regulators to examine app store policies more closely. As Apple faces existing antitrust cases, Musk’s allegations may amplify calls for reforms to ensure equitable access for developers, as noted by Finance Yahoo.
Public and Industry Reactions
The controversy has sparked varied reactions. On X, some users questioned Musk’s claims, citing DeepSeek’s earlier top ranking as evidence of fair competition. Others supported Musk, arguing that Apple’s curation practices favor established players. The feud has also reignited discussions about algorithm transparency and the power of tech giants in shaping market outcomes, per TechRepublic.
Conclusion
On August 12, 2025, Apple rejected Elon Musk’s allegations that its App Store unfairly favors OpenAI’s ChatGPT over competitors like xAI’s Grok, asserting that its rankings are fair and based on objective criteria. Musk, claiming an antitrust violation, threatened legal action, pointing to ChatGPT’s top ranking and Apple’s partnership with OpenAI as evidence of bias. OpenAI CEO Sam Altman countered by accusing Musk of manipulating X’s algorithms. The dispute, set against Apple’s existing antitrust challenges, highlights competitive tensions in the AI market. No lawsuit has been filed, but the issue continues to fuel debates about app store fairness.
Sources & References:
- Reuters
- Bloomberg
- MacRumors
- Gizmodo
- NDTV
- Zee News
- CNET
- TechSpot
- iGeeksBlog
- Madhyamam
- OpenTools
- TechRepublic
- Finance Yahoo
