OpenAI Considers Suing Apple Over ChatGPT Deal Breach

The relationship between Apple and OpenAI is reportedly reaching a breaking point, with the artificial intelligence company considering legal action against the tech giant. The partnership, established in 2024 to integrate ChatGPT into iOS and Siri, has not yielded the anticipated revenue for OpenAI, prompting discussions about a potential lawsuit for breach of contract.

According to recent reports, OpenAI's primary grievance is that Apple has not actively promoted the ChatGPT integration or expanded its reach across more applications within the Apple ecosystem. An OpenAI executive indicated that while the functionality exists, Apple has not made a substantial effort to drive user adoption, with many users opting for the standalone ChatGPT app.

Following the agreement, OpenAI had projected billions of dollars in revenue from paid subscriptions stemming from the iOS integration. This expectation has not materialized, leading the company led by Sam Altman to explore its legal avenues. A law firm has reportedly been consulted to assess potential actions in the coming months.

As a preliminary step, OpenAI is not pursuing immediate litigation but rather a formal notification alleging breach of contract. The hope is to resolve the dispute amicably, but if an agreement cannot be reached, the situation could escalate into more serious legal proceedings.

The collaboration between the two companies was announced in June 2024, with Sam Altman attending Apple's campus. Craig Federighi, Apple's software chief, introduced OpenAI as a leader in artificial intelligence, promising to integrate ChatGPT into Siri and Visual Intelligence, the iPhone's camera-based object analysis feature. The partnership was framed similarly to Apple's lucrative deal with Google for the Safari search engine.

However, transparency regarding the final product was limited. An OpenAI executive mentioned that Apple requested a "leap of faith," asking the company to trust them without full disclosure of implementation details. The resulting integration was buried in menus, and subsequent negotiations to improve the deal's terms did not progress.

The relationship has been further strained by OpenAI's acquisition of Jony Ive's startup. The renowned Apple designer was working on a project intended to compete directly with the iPhone, a move that has not been well-received by Tim Cook and Apple's leadership. Personnel poaching has also been a point of contention.

The future of the Apple-OpenAI collaboration remains uncertain. Apple has shown little interest in deepening the partnership and is already preparing iOS 27. This upcoming operating system version will feature an extension system allowing users to choose from various AI models, such as Anthropic's Claude and Google's Gemini, for Siri interactions. This suggests a move away from exclusive reliance on OpenAI.