Epic Games Triumphs Over Apple Again as Elon Musk’s xAI Joins the Legal Battle

The years-long legal battle between Epic Games and Apple has taken another dramatic turn, with Epic securing yet another victory — and now gaining an unexpected ally in the fight. Tech billionaire Elon Musk has announced that his AI startup, xAI, will take legal action against Apple over alleged anti-competitive practices in the App Store.

The conflict traces back to 2020, when Epic Games implemented its own payment system in Fortnite, bypassing Apple’s 30% commission on in-app purchases. In response, Apple removed Fortnite from the App Store, citing policy violations. This sparked a high-profile antitrust showdown, with Epic accusing Apple of creating a monopoly that stifles competition and limits developer freedom.

Over the years, Epic has scored multiple legal wins. The latest came from an Australian court ruling that found Apple and Google guilty of using their app store dominance to force developers into their own payment systems, thereby blocking competition. This landmark decision paves the way for Fortnite and the Epic Games Store to return to iOS in Australia — with other regions likely to follow.

Why Epic Games’ Latest Court Win Matters for Developers and Gamers

Epic Games’ victory in Australia is more than just a win for one company — it could be a turning point for the entire mobile app ecosystem. The ruling confirms that tech giants like Apple and Google cannot use their platform dominance to unfairly restrict competition.

For gamers, this means more payment options, better pricing, and potentially more innovative features from developers who no longer have to surrender a large chunk of revenue to platform owners. For developers, it signals a path toward fairer market access and reduced dependency on gatekeeper policies.

Epic Games’ earlier U.S. win already brought Fortnite back to iOS, where it quickly became the #1 action game in the App Store. The Australian ruling could accelerate similar changes in other markets, putting pressure on Apple to loosen its grip globally.

Elon Musk’s xAI Enters the Fight Against Apple

While Epic’s fight has focused on gaming and app store fees, Elon Musk’s xAI is targeting Apple over alleged favoritism in the AI app rankings. Musk claims Apple has altered its App Store algorithms to give priority to OpenAI—the developer of ChatGPT—since their partnership began in June 2024.

According to Musk, this makes it “impossible for any AI company besides OpenAI to reach #1 in the App Store,” which he calls a clear antitrust violation. xAI plans to file legal action soon, although Musk has not yet disclosed full details.

If Musk’s claims are validated in court, it could trigger a new wave of scrutiny over Apple’s control of app visibility and rankings — potentially impacting AI startups worldwide.

Industry Reactions and Expert Analysis

Industry experts suggest that these legal challenges could mark the beginning of a more open and competitive app economy. Some analysts compare it to the early 2000s antitrust case against Microsoft, which reshaped the software industry.

By challenging Apple’s control, both Epic Games and xAI are pushing for a future where developers have equal opportunity to reach users, and consumers can choose the best services without artificial restrictions.

Legal analysts also warn that while these rulings are significant, Apple still has strong defenses and the ability to adapt policies in ways that maintain profitability while technically complying with court orders.

Epic Games has confirmed that Fortnite will relaunch on iOS in Australia soon, with plans to expand to more countries if legal conditions allow. Meanwhile, Elon Musk’s xAI legal action is expected to be filed in the coming weeks, setting the stage for another high-profile battle.

The outcome of these cases could influence global app store policies, shaping how mobile platforms operate for years to come. If Apple is forced to make major changes, the entire app marketplace — from indie developers to tech giants — will feel the impact.

Epic Games’ persistence is reshaping the digital marketplace, and with Musk entering the scene, Apple is facing pressure on multiple fronts. This may be the moment where long-standing grievances against the App Store model finally spark systemic reform.

You Must Know:

Q1: Why did Epic Games sue Apple?
Epic Games sued Apple for alleged monopolistic practices, claiming that the App Store’s policies restrict competition and force developers to use Apple’s payment system with a 30% commission.

Q2: What was the outcome of Epic’s latest case in Australia?
An Australian court ruled that Apple and Google abused their control over app stores to block competition, allowing Fortnite and the Epic Games Store to return to iOS in Australia.

Q3: How is Elon Musk involved in this legal fight?
Elon Musk’s AI company, xAI, plans to sue Apple over alleged favoritism toward OpenAI in App Store rankings, accusing Apple of blocking fair competition for AI apps.

Q4: Could this case change how app stores work globally?
Yes, if courts rule against Apple, it could lead to global reforms that make app marketplaces more competitive and transparent for developers and consumers.

Q5: When will Fortnite return to iOS outside Australia?
Epic has not confirmed dates, but other regions may follow if similar legal rulings are achieved.