A Dutch court has ordered xAI to stop generating and distributing nude images without consent. This landmark ruling comes after Offlimits took legal action against Grok, a tool launched by Elon Musk in 2023 that allows users to create deepfake montages of naked individuals.
The court warned of fines reaching 100,000 euros ($115,350) per day for noncompliance, underscoring the seriousness of the issue. Robbert Hoving, a legal representative, stated, “The burden is on the company to make sure its tools are not used to create and distribute nonconsensual sexual images, including of children.” This ruling marks one of the first instances where a judge has addressed xAI’s responsibility for its AI-generated content.
In a related development, Grok experienced a significant outage affecting thousands of users on March 27, 2026. Users reported authentication failures when trying to log in, with Downdetector recording at least 2000 reports about the service disruption. The outage was linked to authentication and server-side disruptions.
The European Parliament has also taken steps to address the issue, approving a ban on AI systems generating sexualized deepfakes. This legislative action reflects a growing concern over the ethical implications of AI technologies.
Elon Musk had previously pledged to open-source parts of X’s recommendation system in 2022, reiterating this commitment in 2023. However, the recent court ruling raises questions about the future of Grok and its compliance with emerging legal standards.
As the legal landscape evolves, observers are keen to see how xAI will adapt to these new regulations and what measures will be implemented to prevent further misuse of its technology. The implications of this ruling could set a precedent for future cases involving AI-generated content.
Details remain unconfirmed regarding how xAI plans to address the court’s order and the ongoing service disruptions affecting Grok users.