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California Investigates xAI for Role in Deepfake Image Generation

By  |  January 18, 2026

California Attorney General Rob Bonta has sent a cease and desist letter to Elon Musk’s artificial intelligence company xAI, demanding that it immediately stop generating and distributing non-consensual sexual images, according to Reuters.

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    In a news statement released on Friday, Bonta said, “I fully expect xAI to immediately comply.” His office’s action follows growing concern over Grok, a generative AI chatbot developed by xAI, which has drawn criticism worldwide for allowing users to create and share sexualized images of women and minors, per Reuters.

    According to Reuters, the California attorney general’s office opened a formal investigation on Wednesday into the creation and dissemination of non-consensual, sexually explicit material produced using Grok. The move places California among a growing list of governments scrutinizing the tool and the company behind it.

    Read more: Federal Agencies Strike Deal with Elon Musk’s xAI for Grok Chatbot Access

    Authorities in several countries have already taken steps against Grok. Japan, Canada and Britain have launched probes into the chatbot, while Malaysia and Indonesia have temporarily blocked access to it over concerns related to the generation of explicit images, according to Reuters.

    xAI said late on Wednesday that it had introduced new restrictions limiting image-editing capabilities for all Grok users, Reuters reported. Despite these changes, concerns from regulators have continued to mount.

    Musk’s xAI did not respond to a Reuters request for comment regarding the cease and desist letter, leaving unanswered questions about how the company plans to address the demands from California and other jurisdictions.

    Source: Reuters