OpenAI is reportedly considering legal action against Apple, citing deep dissatisfaction with the integration of its ChatGPT technology into Apple’s operating systems. The core of the dispute stems from OpenAI’s perception that the partnership has failed to deliver the anticipated subscriber growth and prominent feature placement it expected within the iPhone ecosystem.

Sources familiar with the matter indicate that OpenAI has engaged an external law firm to evaluate its options. These could range from issuing a formal breach-of-contract notice to potentially escalating to a full-blown lawsuit, though any major legal maneuver might be deferred until after the conclusion of OpenAI’s ongoing litigation with Elon Musk. The integration, announced at Apple’s Worldwide Developers Conference in June 2024, was designed to embed ChatGPT as an option within Siri and as part of the iPhone’s Visual Intelligence feature. OpenAI had projected significant revenue streams and prime visibility from this collaboration, but now claims the integration is largely hidden, its features are difficult to access, and the financial returns are far below initial projections. Apple, on its part, reportedly harbors concerns about OpenAI’s privacy standards and expresses irritation over OpenAI’s foray into hardware development, an initiative spearheaded by former Apple executives, including ex-design chief Jony Ive.

This potential legal clash highlights Apple’s long-standing reputation as a challenging partner for major software companies. The iPhone platform, while immensely appealing for growth, remains firmly under Apple’s stringent control. Throughout its history, Apple has frequently sidelined partners once their offerings appeared to rival its own. Notable examples include the replacement of Google Maps with Apple Maps on the iPhone in 2012, a move that prompted a rare public apology from CEO Tim Cook, and Steve Jobs’s refusal to support Adobe Flash on iOS devices, which ultimately contributed to the technology’s decline on mobile. More recently, Apple faced a nearly €1.8 billion fine from the European Commission in March 2024, following years of complaints from Spotify regarding alleged anti-competitive practices related to the App Store and Apple Music.

Despite a history of friction, commercial interests sometimes lead to reconciliation, as seen with Google now serving as Apple’s AI infrastructure partner, powering Apple Intelligence with Gemini models under a multiyear, billion-dollar annual deal. Meanwhile, OpenAI itself has recently navigated its own share of strained relationships, including the high-profile lawsuit from Elon Musk and reported tensions with its primary backer, Microsoft, as it seeks greater independence amidst its IPO aspirations. The potential legal battle with Apple adds another complex layer to OpenAI’s evolving corporate landscape.