A lawsuit from Elon Musk‘s xAI and X Corp accusing Apple Inc (NASDAQ:AAPL) and OpenAI of monopolistic practices took a sharp turn Monday. Musk’s companies — now under SpaceX (NASDAQ:SPCX) — dropped Apple from the suit but kept the pressure on OpenAI.
xAI Changes Lawsuit
In August 2025, Musk’s companies alleged that Apple violated antitrust laws by favoring OpenAI’s chatbot ChatGPT in its iOS App Store, and sought billions of dollars in damages.
But on Monday, xAI withdrew its claims against Apple in the lawsuit, which U.S. District Judge Mark Pittman approved, Bloomberg reported. While xAI dropped its claims against Apple, it continues to pursue its case against OpenAI.
xAI/Musk vs. OpenAI
Leaving the case against OpenAI open could signal unfinished business between Musk and the AI company he co-founded.
Recall how Musk quickly lost a lawsuit against OpenAI CEO Sam Altman earlier this year.
Bloomberg also reports that the relationship between Apple and OpenAI may have soured. OpenAI was considering legal action against Apple earlier this year based on its prior partnership, according to the report.
Apple vs. OpenAI
Meanwhile, Apple and OpenAI are at odds. In July, the iPhone maker filed a lawsuit against the ChatGPT parent company and former Apple employees Tang Tan and Chang Liu, accusing them of misappropriating trade secrets related to hardware design, manufacturing and supply-chain operations amid OpenAI’s efforts to enter the consumer devices arena.
In August, Apple asked a U.S. judge to issue a preliminary injunction preventing the two former employees and OpenAI from accessing, using, or disclosing alleged confidential information while the lawsuit proceeds. OpenAI then went on to request the judge to dismiss the suit.
OpenAI alleges that Apple is using the lawsuit to slow a potential competitor and discourage staff from leaving the tech giant.
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