Elon Musk’s xAI Resolves Antitrust Lawsuit Against Apple Over AI Competition

TechRegard reports on Elon Musk's xAI and X Corp dropping their antitrust lawsuit against Apple over iPhone ChatGPT integration.

Elon Musk’s xAI drops its antitrust lawsuit against Apple over iPhone ChatGPT deals while continuing legal action against OpenAI.

xAI and social media company X Corp, both founded by billionaire businessman Elon Musk, have resolved their high-profile antitrust lawsuit against technology giant Apple.

The legal dispute centered on claims that Apple acted unfairly by embedding OpenAI’s ChatGPT directly into its iPhone software, creating an exclusive arrangement that shut out competing artificial intelligence helpers like Musk’s Grok assistant.

Under a new court filing, Musk’s companies voluntarily withdrew their legal claims against the iPhone maker, bringing an end to a major federal courtroom battle over how mobile phone companies distribute digital tools to millions of everyday smartphone users.

The official court filing was submitted to a federal court in Fort Worth, Texas, on Monday, September 14, 2026, as reported by global business news outlet Bloomberg.

Lawyers representing xAI and X Corp requested a voluntary dismissal of all charges against Apple, effectively ending the litigation without publicly disclosing financial terms or confirming whether a private settlement agreement was reached.

However, court records confirm that dropping the case applies solely to Apple. The legal team confirmed that active claims against OpenAI remain ongoing, as Musk’s companies continue to challenge the ChatGPT creator’s market dominance in court.

The main reason xAI and X Corp originally took Apple to court was the belief that bundling ChatGPT into millions of Apple devices gave OpenAI an unfair advantage over rival software developers.

When a major phone manufacturer builds a specific digital tool directly into its operating system, everyday phone users naturally rely on that default helper for daily web searches, writing tasks, and photo editing.

Musk’s legal team argued that this close partnership prevented other smart tools, like Grok, from reaching consumers fairly.

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By dropping the lawsuit against Apple now, Musk’s companies eliminate a complex legal dispute with the phone maker while focusing their legal efforts directly on OpenAI.

Detailing the official request submitted to the federal judge to end legal proceedings against the iPhone maker, court records cited by Bloomberg noted that “Elon Musk’s X Corp and xAI have voluntarily dismissed their federal antitrust lawsuit against Apple in Texas”.

Explaining that the legal decision clears Apple from the lawsuit while leaving the primary case against OpenAI active in court, legal summaries reviewing the filing stated that “the dismissal applies only to Apple; claims against OpenAI remain active, with Musk’s companies continuing to allege the ChatGPT developer holds an unlawful monopoly”.

Highlighting that Apple built its software features to support multiple digital assistants over time rather than restricting access permanently, industry analysts reviewing the resolution noted that “the move removes a high-profile legal distraction for Apple as it expands its AI features to a broader user base”.

By resolving its legal claims against Apple, xAI is narrowing its focus in the ongoing technology competition. Ending the courtroom battle allows both companies to move forward, ensuring phone makers can continue expanding digital tools while developers build smart software for users worldwide.

About the Author

Jennifer Sakmufuwo Baba

Jennifer Sakmufuwo Baba is a tech analyst, senior staff, and writer covering artificial intelligence, cybersecurity , and emerging technologies at TechRegard. Based in Nigeria, she's passionate about translating complex tech developments into compelling, accessible stories for diverse audiences. Her work focuses on how technology shapes innovation across Africa and globally.