Elon Musk threatens Apple with legal action over claim of app store favorability toward OpenAI


Sam Altman, left, and Elon Musk.

Muhammed Selim Korkutata | Anadolu | Getty Images

There’s a brand new firm at the heart of the intensifying battle between Elon Musk and Sam Altman: Apple.

Musk and Altman, who helped begin OpenAI a decade in the past with a bunch of different co-founders, had a public falling out that led to a authorized combat final 12 months, with Musk accusing Altman of breach of contract for abandoning the synthetic intelligence firm’s founding mission.

The back-and-forth disagreement and lawsuits took one other dramatic activate Monday, when Musk threatened Apple with “immediate” authorized motion over alleged antitrust violations. Musk’s criticism, which he voiced on his social media web site X, is that Apple favors OpenAI’s ChatGPT over X’s Grok chatbot in the App Store.

“Apple is behaving in a manner that makes it impossible for any AI company besides OpenAI to reach #1 in the App Store, which is an unequivocal antitrust violation,” Musk wrote, with out citing proof. “xAI will take immediate legal action.”

Apple partnered with OpenAI in mid-2024 to combine ChatGPT into its iPhone, iPad, Mac laptop computer and desktop merchandise. Readers added context to Musk’s publish, declaring that China’s DeepSeek reached the prime spot in the App Store in January of this 12 months, and that Perplexity was No. 1 in India in July.

Altman shortly responded to Musk’s accusations.

“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 wrote in a publish on X Monday night time.

Altman referenced a 2023 report from tech information web site Platformer that described how Musk, after buying Twitter (now X), made sweeping platform adjustments and “created a particular system for exhibiting you all his tweets first.

Altman stated that if Musk ended up submitting a go well with, he hoped it will result in “counter-discovery on this,” including that he and plenty of others “would love to know what’s been happening.”

Elon Musk threatens Apple with legal action over claim of app store favorability toward OpenAI

The feud continued into the morning hours on Tuesday.

“You got 3M views on your bulls— post, you liar, far more than I’ve received on many of mine, despite me having 50 times your follower count!” Musk wrote.

Musk’s X account signifies he has 224 million followers, however the firm has by no means disclosed what number of may very well be bots. Altman’s account on X lists 3.9 million followers.

Altman clapped again, asking if Musk would “sign an affidavit that you have never directed changes to the X algorithm in a way that has hurt your competitors” or helped his personal firms, and stated he would supply a private apology in return.

Neither Musk nor his attorneys responded to requests for remark. OpenAI referred CNBC to Altman’s posts and the firm’s previous statements. Apple declined to remark.

Troubled historical past

Musk stepped down from the OpenAI board in 2018, after hiring one other founding member of the startup, Andrej Karpathy, to run the Autopilot workforce at Tesla. Around the time he left OpenAI, Musk stated he noticed AI as “potentially more dangerous than nukes.”

As a part of his lawsuit towards OpenAI, Musk requested a federal courtroom to cease the AI startup from changing into a completely for-profit enterprise. Musk argued that OpenAI ditched its unique mission as a nonprofit to develop AI “for the benefit of humanity broadly.” A federal decide in California denied Musk’s effort to halt the transformation.

OpenAI has emerged as a large industrial enterprise since the public launch of ChatGPT in late 2022, and is now in talks with buyers a couple of inventory sale that may worth the firm at roughly $500 billion, CNBC confirmed final week.

Musk fashioned xAI in March 2023, saying its debut 4 months later. Since then, he has raised billions of {dollars} for the firm, merged it with X and known as for Tesla, his solely publicly traded enterprise, to take a position billions extra into the AI firm.

In February, a Musk-led group of buyers offered to purchase management of OpenAI for $97.4 billion. Altman responded on X, saying, “no thank you but we will buy twitter for $9.74 billion if you want.”

In dragging Apple into the dispute, Musk has targeted on the App Store, the place ChatGPT is at the moment the top-ranked free app whereas Grok is fifth. Musk took subject with ChatGPT being listed as one in all the retailer’s “Must-Have Apps,” a listing that doesn’t embrace Grok.

“Why do you refuse to put either X or Grok in your ‘Must Have’ section when X is the #1 news app in the world and Grok is #5 among all apps? Are you playing politics?” Musk wrote in a publish.

Grok releases have been riddled with questions of safety and considerations surrounding manipulation of the expertise. In May, the chatbot promoted false claims about alleged “white genocide” in South Africa, main Musk to jot down that the automated responses have been the results of an “unauthorized modification.” In July, Grok responses throughout X included reward for Adolf Hitler.

Musk’s threats to Apple come as the iPhone maker faces stress from regulators and opponents over App Store insurance policies. A panel of judges in June denied Apple’s emergency utility to halt adjustments to its App Store that resulted from the firm’s authorized battle with Epic Games. In 2021, a decide dominated that Apple might now not prohibit builders from directing customers away from the firm’s in-app buying, which brings with it as much as 30% of product sales.

— CNBC’s Steve Kovach contributed reporting

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