Musk scores legal win as Judge lets XCorp take on Apple and OpenAI
The post Musk scores legal win as Judge lets XCorp take on Apple and OpenAI appeared on BitcoinEthereumNews.com.
Elon Musk’s XCorp and xAI won their key procedural battle on Thursday in the lawsuit against Apple Inc. and OpenAI. A federal judge in Texas has ordered Apple and OpenAI to respond to allegations that the two companies conspired to reduce competition in emerging markets for artificial intelligence. U.S. District Judge Mark Pittman of the Northern District of Texas denied Apple and OpenAI’s motion to dismiss the lawsuit. In the written order, Pittman did not disclose his reasoning but ordered both sides to file additional filings explaining themselves. The ruling does not decide whether Musk’s companies will ultimately succeed. Instead, it allows the system of justice to do its job. This procedural victory enables XCorp to initiate the process of collecting evidence, taking witness depositions, and advancing to trial. Apple and OpenAI defend themselves XCorp and xAI argue that Apple’s decision to build OpenAI technology into iPhones and iPads is a move to lock them and other rivals out of major consumer distribution points for AI. The lawsuit argues that Apple’s moves leave OpenAI as the dominant player in mobile AI with a limited product offering, making it difficult for other companies to compete or attract customers. Musk’s companies argue that this agreement is a disaster for consumers, as it limits choice and restricts the development of new AI tools. They also argue that the partnership between Apple and OpenAI represents another unfair consolidation of power in a nascent industry, which could constrain global competition. In court papers, Apple rejected the claims as false and misleading. Its lawyers emphasised that an exclusive agreement with OpenAI did not bind the company, and that the company’s plans still included working with other developers in AI. They say that the iPhone has always been a multi-application platform, so consumers are not trapped into OpenAI’s choices; competition…
Filed under: News - @ November 14, 2025 2:24 am