Elon Musk’s companies, X Corp and xAI, filed a 61-page antitrust lawsuit on Monday, in the U.S. District Court for the Northern District of Texas against Apple Inc. and OpenAI entities.

The complaint states that Apple, which holds approximately 65% of the U.S. smartphone market, and OpenAI, which controls over 80% of the generative AI chatbot market, have entered into an anticompetitive agreement to maintain their respective monopolies and suppress rivals, including xAI’s Grok chatbot.

At the core of the suit is Apple’s and OpenAI’s June 2024 partnership, which exclusively integrates OpenAI’s ChatGPT into Apple’s iOS, making it the default and sole generative AI chatbot for certain iPhone features, such as Siri responses, camera integrations, and writing tools.

Plaintiffs express that this deal forecloses competitors from accessing billions of user prompts from hundreds of millions of iPhones, thereby amplifying network effects and scale advantages that enable ChatGPT to improve more rapidly while restricting rivals’ growth and innovation.

The lawsuit argues this entrenches both companies’ market dominance, suppresses the development of AI-powered “super apps” that could disrupt Apple’s smartphone ecosystem, and harms consumers through reduced choices, lower quality, and higher prices.