Apple’s stock has tumbled nearly 20% in 2025, erasing over $750 billion in market value and costing it the title of the world’s most valuable company. Investor disappointment has centered on Apple’s artificial intelligence efforts, with the Apple Intelligence suite failing to impress. Now, Apple is confronting a new AI headache—this one from Tesla CEO Elon Musk, who is threatening “immediate legal action” unless OpenAI’s ChatGPT is removed from the top of the App Store rankings.
The dispute erupted Monday when Musk, CEO of Tesla and owner of X, accused Apple on the platform of anticompetitive practices. He claims Apple’s App Store ranking system “makes it impossible for any AI company besides OpenAI to reach #1,” calling it a “clear antitrust violation” and warning that his AI startup, xAI, will pursue legal action. A showdown in court between xAI and Apple could be imminent.
At the center of Musk’s complaint is Grok, xAI’s AI chatbot competitor to ChatGPT. As of Tuesday morning, ChatGPT holds the #1 spot among free apps in the U.S. App Store, while Grok ranks sixth. Google’s Gemini chatbot lags at 57th. Musk specifically points to Apple’s partnership with OpenAI, launched in June 2024, which deepened ChatGPT integration across iPhones, iPads, and Macs, suggesting it gives OpenAI an unfair advantage.
Musk also criticized Apple’s editorial choices as well: “Why do you decline to include X or Grok in your ‘Must Have’ category when X is the world’s leading news app and Grok ranks fifth overall? Are you engaging in political maneuvering?”
The challenge comes amid increasing regulatory scrutiny. Earlier this year, a U.S. judge ruled Apple violated a court order on App Store competition following an Epic Games lawsuit. In April, the European Union fined Apple €500 million for blocking developers from directing users to cheaper outside offers. Apple is appealing the decision.
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