
Apple denies favouring ChatGPT after partnership claims, rejects Elon Musk's allegation that App Store hinders rivals
The remarks come after the Tesla and X chief threatened legal action, accusing Apple of making it 'impossible' for apps to rival ChatGPT-maker OpenAI in the store.
Musk's criticism followed his renewed clash with OpenAI chief executive Sam Altman, whom he labelled a 'liar' after Altman accused him of using X to 'benefit himself and his own companies'. The dispute marks the latest escalation in a long-running feud between the two tech leaders, who co-founded OpenAI before Musk's departure from the firm.
In a statement to the BBC, Apple said: 'We feature thousands of apps through charts, algorithmic recommendations and curated lists selected by experts using objective criteria.'
Apple entered into a partnership with ChatGPT in June 2024 but has denied any preferential treatment. The company noted that other AI tools, including DeepSeek and Perplexity, have reached top positions in App Store rankings since then.
Musk, however, continued to criticise the company online, questioning why neither X nor its AI chatbot Grok featured in the App Store's 'Must Have' section. He pointed out that X ranked as the number one news app globally and Grok was fifth among all apps, while ChatGPT topped the UK's free app chart. Official rankings show Grok in third place and X absent from the top 40.
Meanwhile, tensions between the xAI chief and Sam Altman escalated further, as the public spat unfolded against the backdrop of legal proceedings in the United States. This week, District Judge Yvonne Gonzalez Rogers allowed OpenAI's claims against Musk to proceed to trial, including accusations of a 'years-long harassment campaign' involving public remarks, social media activity, court filings, and what the company describes as a 'sham bid' for its assets.
The trial is expected to intensify tensions in a rivalry that has persisted for over a decade, stemming from Musk's belief that OpenAI abandoned its original founding principles.

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Economic Times
22 minutes ago
- Economic Times
xAI cofounder Igor Babuschkin departs to launch AI safety investment firm
ETtech Igor Babuschkin, a cofounder of Elon Musk's artificial intelligence startup xAI, said on Wednesday that he has left the company and plans to launch an investment firm focused on AI safety research. Musk launched xAI in 2023 to challenge Big Tech's AI push, accusing industry leaders of excessive censorship and lax safety standards. "Today was my last day at xAI," Babuschkin said in a post on X, adding that his new venture, Babuschkin Ventures, will back AI safety research and startups developing the technology. Babuschkin, who previously worked at Google's DeepMind and OpenAI, described xAI's early scramble to build infrastructure and models, saying he created "many of the foundational tools" for launching and managing training jobs before later overseeing engineering across infrastructure, product and applied AI projects. His departure follows that of xAI's legal head, Robert Keele, earlier this month, and comes amid intensifying competition among AI players such as OpenAI, Google and Anthropic, which are pouring resources into training and deploying advanced systems. Last month, Musk-owned X's CEO Linda Yaccarino also resigned, just months after the platform was folded into xAI. Musk is separately contending with executive departures at Tesla. Elevate your knowledge and leadership skills at a cost cheaper than your daily tea. Tariffs, tantrums, and tech: How Trump's trade drama is keeping Indian IT on tenterhooks Good, bad, ugly: How will higher ethanol in petrol play out for you? As big fat Indian wedding slims to budget, Manyavar loses lustre As 50% US tariff looms, 6 key steps that can safeguard Indian economy Stock Radar: JSPL forms Ascending Triangle pattern on weekly charts, could hit fresh 52-week high soon Nifty and business are different species: 5 small-cap stocks from different sectors with upside potential of up to 30% F&O Radar | Deploy Bear Put Spread in Nifty to play index's negative stance amid volatility Wealth creation: Look beyond the obvious in some things; 10 fertilizer sector companies worth watching
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First Post
22 minutes ago
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Trump signs new order easing regulations for private space industry
The change could well benefit Musk, who has long advocated for deregulation of the space industry. The world's richest man was previously a close advisor to Trump before the pair had a dramatic, public falling out in July US President Donald Trump signed an executive order Wednesday easing regulations for the private space industry, including eliminating some environmental reviews, in a move likely to please his erstwhile advisor Elon Musk. The executive order, which said it aimed to 'substantially' increase the number of space launches in the United States, was described by an environmental group as 'reckless.'Since returning to the White House in January, Trump has talked up several space missions including sending humans to the Moon and Mars. The Moon and Mars missions are planned to get a ride on the massive Starship rocket of Musk's private firm SpaceX. However, Starship has had a series of setbacks, with its latest routine test ending in a fiery explosion in June. SpaceX dominates the global launch market, with its various-sized rockets blasting off more than 130 times last year – and that number looks set to rise after Trump's executive order. STORY CONTINUES BELOW THIS AD 'It is the policy of the United States to enhance American greatness in space by enabling a competitive launch marketplace and substantially increasing commercial space launch cadence' by 2030, the order read. The change could well benefit Musk, who has long advocated for deregulation of the space industry. The world's richest man was previously a close advisor to Trump before the pair had a dramatic, public falling out in July. The executive order also called on Transportation Secretary Sean Duffy – who was at the signing and is currently NASA's administrator – 'to eliminate or expedite the Department of Transportation's environmental reviews' for launches. SpaceX has been repeatedly criticized over the environmental impact at the sites where Starship, the largest and most powerful rocket in history, blasts off. The US-based nonprofit Center for Biological Diversity said Trump's new executive order 'paves the way for the massive destruction of protected plants and animals.' 'This reckless order puts people and wildlife at risk from private companies launching giant rockets that often explode and wreak devastation on surrounding areas,' the center's Jared Margolis said in a statement. Musk's dreams of colonizing Mars rely on the success of Starship, and SpaceX has been betting that its 'fail fast, learn fast' ethos will eventually pay off. STORY CONTINUES BELOW THIS AD The Federal Aviation Administration approved an increase in annual Starship rocket launches from five to 25 in early May, stating that the increased frequency would not adversely affect the environment.


The Hindu
an hour ago
- The Hindu
India's smartphone and chip ambitions on track amid tariffs uncertainties
The announcement of a 50% tariff on exports to the U.S. from India has triggered concerns across the tech industry. On paper, it sounds like a direct threat to India's growing role in smartphone assembly and its emerging semiconductor ambitions, but in reality, the near-term impact is much smaller than headlines suggest. The structure of electronics manufacturing, the nature of global supply chains and India's unique position in this sector mean that the country's growth trajectory remains largely intact — at least for now. 'The imposition of 50% tariffs structure on India will have distinct impact across electronics exports from India to US, including smartphones, and other electronics assembled in India. In particular, the net impact will be governed by the proposed Trump's 100% tariff on inbound semiconductors supply chain,' said Dr. Danish Faruqui, the CEO of Fab Economics, a U.S. based boutique semiconductor Fab/OSAT Greenfield projects implementation and investment advisory firm. US President Donald Trump's April 5 executive order excludes smartphones, tablets, laptops, servers and telecom equipment from reciprocal tariffs. Therefore smartphone exports to the U.S. from countries like India, China and Vietnam are insulated from reciprocal tariffs. This includes the current 50% tariff on India. 'The only constant with the U.S. tariffs has been the change of status quo dynamically over the last 4-5 months, therefore such reprieve from US tariffs on smartphone is not a guaranteed insulation,' Dr. Faruqui said. (For top technology news of the day, subscribe to our tech newsletter Today's Cache) 'This [tariff] is more of a negotiation tactic putting pressure to achieve leverage in overall trade negotiations which would be on completely different items,' said Prachir Singh, Senior Research Analyst at Counterpoint. Manufacturing math It is important to note that setting up electronics manufacturing and supply chain ecosystem is a complex and tedious process that involves huge capital investments. It requires multiple layers of suppliers like chip fabrication units, printed circuit board assembly lines, camera modules makers, display panels manufacturers, batteries makers, connectors, packaging firms, testing experts and logistics handlers. And setting this up takes decades to mature. Once they are in place, they cannot be dismantled and rebuilt in another country. 'Electronics supply chain and manufacturing is inherently complex and takes decades to be built. It is nearly impractical to pressure OEMs and supply chain to setup operations in USA,' Prachir added. Moving manufacturing in response to tariffs is unrealistic. For a company like Apple, which relies on precision ecosystem, moving production to a different place would mean years of planning and billions of fresh investment. In the meantime, Apple faces some pressure due to tariff imposition by the U.S. on India. 'Apple could absorb some of the extra cost, at least temporarily. However, a 35 to 40% jump in the retail price of an iPhone in the U.S. is not something either Apple or the U.S. government would want or accept as normal,' said Prachir. iPhones are already premium products and a sudden price spike could hurt sales volumes and consumer sentiment. As per Fab Economics, Global smartphone industry is not reacting well to tariff impositions resulting in demand softening in multiple world regions including US. iPhone shipments to the U.S. declined by 11% year-on-year to 13.3 million units in Q2'2025 wherein Apple reported $800 million in tariffs and forecasted $1 billion in tariff in Q3'2025. Most of the iPhones assembled in India and exported to the U.S. are currently exempted from the 50% tariffs (25% for now). There will be no immediate disruption to India's iPhone production lines or to Apple's export plans from the country. India's position Even with the uncertainty around tariffs, India remains ahead of several competing manufacturing hubs. 'Compared to Vietnam, India has a far larger domestic consumer base, which means production is not entirely dependent on exports. Compared to China, India offers geopolitical diversification for global brands seeking to reduce their reliance on one country,' explained Prachir. Factors like strong export potential with schemes like production linked incentive (PLI) and huge internal demand due to a large young population, make India a rare market. This makes India a strategic choice for electronics manufacturing in the long term. The latest tariffs move looks less like an attempt to dismantle existing manufacturing patterns and more like a negotiation tactic before an upcoming trade deal between India and the U.S. For India, this 50% tariff is more of a background noise than an immediate operational challenge. As long as major export items like iPhones remain exempt, the impact will be muted. 'India's smartphone exports to US to remain tariff free by the virtue of proposed Trump's 100% tariff imposition plan on semiconductors that plan to exempt or provide favourable rates to companies having US manufacturing operations or having committed roadmap for US manufacturing operations: both Apple and Samsung qualify for such preferential treatment which represent over 80% of India's smartphone exports to US,' said Dr. Faruqui. India itself is a huge market. If the tariffs pose a challenge, the local demand can act as buffer. India's smartphone user base continues to expand with nearly 900 million smartphone users. Affordable 5G plans and cheap AI devices areexpected to drive this growth even further. For makers, serving India alongside exports creates a more balanced portfolio. This is something smaller manufacturing hubs like Vietnam lacks. Impact on other players While Apple's position is relatively secure for now, other manufacturers could feel less confident. Samsung recently spoke about making India a key global export hub for its devices. If the tariffs environment remains unpredictable, such expansion plans might be slowed down. 'There is a need to have long term clarity as it could create doubts in the minds of other phone makers like Samsung who recently said they wanted to make a key exports hub,' said Faisal Kawoosa, Chief Analyst, Techarc. Similarly, emerging smartphone brands or component suppliers considering India as a base may hesitate until they see consistent policy signals from both the U.S. and India. In manufacturing, investment timelines often stretch over a decade or more. Companies prefer to commit where they can reasonably forecast market access and costs. Even if the tariffs impact is limited, the uncertainty it creates can shake the supply chain. With trade rules changing without warning, suppliers may face challenges in planning, sourcing raw materials and deciding the pricing for the end buyers. Electronics sector, which is running on wafer-thin margins and demand is highly price-sensitive, such unpredictable move can disrupt the market. 'Such commotion stresses supply chain which makes pricing unpredictable,' added Faisal. Semiconductor India is also taking huge strides in semiconductor manufacturing by building chip fabrication facilities that are more complex than smartphone assembling units. It involves huge capital expenditure, sanitised manufacturing environments and extremely precise logistics for raw materials like silicon wafers, rare gases, and photolithography equipment. India has made investment to attract semiconductor makers, but these projects could take years to become operational. For global players considering where to place their next fabs or advanced packaging units, policy stability is just as important as infrastructure. Frequent shifts in trade dynamics could complicate those decisions, even if they do not stop them outright. 'Due to Trump's administration semiconductor tariffs enactment there will be distinct tailwinds for players in the U.S. allied countries, including beneficiaries of the U.S. Chips Act who are pursuing manufacturing operations on the U.S. soil, while major headwinds for non-allied or adversarial countries,' said Fab Economics. Manufacturers will continue to invest in India as long as they believe that the rules of the game will not shift unpredictably. This stability must come from both domestic policy and international trade relationships. Conclusion Despite the 50% tariffs, India's smartphone and semiconductor ambitions remain largely on track, thanks to exemptions for key electronics export items, a resilient and growing domestic market and a strong competitive position against rivals in Asia. 'India, even with these flip flop on tariffs, is still in the best position against China or Vietnam as a go to destination for manufacturing ecosystem for electronics and eventually semiconductors from both export and huge domestic consumption perspective. It will eventually be a two horse race: India and China,' said Prachir. The risk does not lie on the current tariffs, but the uncertainty it represents. Stable or predictable policies, both domestically and internationally, will be critical to keep investment flowing and supply chains resilient. India has the opportunity to cement its status as one of the world's top electronics manufacturing destinations. The challenge will be to ensure that short-term trade talks do not distract from that long-term goal. 'India currently holds largest share of smartphone supply to the U.S., inching towards half of its smartphone supply, which makes any tariffs imposition on Indian origin smartphone inbound supply chains directly resulting in price expulsion impacting end users in the U.S., an unwanted outcome for Trump administration,' believes Fab Economics.