Elon Musk’s lawsuit against Apple and OpenAI employs a powerful legal strategy: the “double monopoly” claim. The complaint alleges that the partnership illegally combines Apple’s existing monopoly in one market (smartphones) with OpenAI’s emerging monopoly in another (AI chatbots) to create an unbeatable and unlawful competitive advantage.
The argument is that neither company could achieve this level of market control on its own. It is their “conspiracy” to link their dominant positions that allegedly violates antitrust law. According to the suit, Apple provides the exclusive distribution channel, and OpenAI provides the must-have product, and together they lock out all rivals.
This legal framing is designed to be particularly damaging. It suggests a deliberate, calculated effort by two Goliaths to crush any potential Davids, like Musk’s own xAI. The lawsuit seeks not only to punish this alleged behavior with billions in damages but also to break the link between the two monopolies by dissolving their partnership.
OpenAI has rejected this framing, but their defense will need to prove that their partnership is pro-competitive and benefits consumers, rather than being a tool for market foreclosure. The “double monopoly” claim is a potent legal weapon, and its success or failure in court could set a new standard for antitrust enforcement in the tech sector.