“In a desperate bid to protect its smartphone monopoly, Apple has joined forces with the company that most benefits from inhibiting competition and innovation in AI: OpenAI, a monopolist in the market for generative AI chatbots,” the lawsuit reads, referring to Apple’s partnership with OpenAI to integrate ChatGPT into its systems.

Billionaire entrepreneur Elon Musk’s artificial intelligence startup xAI sued Apple (AAPL) and ChatGPT maker OpenAI in U.S. federal court in Texas on Monday, accusing them of illegally conspiring to thwart competition for artificial intelligence.

Elon Musk threatened to sue Apple for favoring ChatGPT over Grok in the App Store — and now he has. On Monday, Musk's AI company xAI officially filed a lawsuit against Apple as well as ChatGPT creator OpenAI over the two companies' business partnership.