Elon Musk's AI Company Faces Legal Battle over Deepfake Controversy

Ashley St Clair is suing Elon Musk's AI company, xAI, alleging its Grok chatbot allowed the creation of sexually explicit deepfakes that have caused her emotional distress. St Clair claims the platform retaliated by revoking her premium account. The lawsuit initially filed in New York has been moved to federal court.


Devdiscourse News Desk | Newyork | Updated: 17-01-2026 04:58 IST | Created: 17-01-2026 04:58 IST
Elon Musk's AI Company Faces Legal Battle over Deepfake Controversy
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Elon Musk's AI venture, xAI, faces a lawsuit from Ashley St Clair, who alleges the company's Grok chatbot enabled the creation of damaging sexually explicit deepfakes of her. The legal battle highlights increasing concerns around the misuse of AI technology to produce non-consensual exploitative content.

St Clair, the mother of Musk's child, has filed suit in New York City against xAI, claiming the platform retaliated by stripping her of premium account benefits. Images depicted her adult self in provocative scenarios, reportedly inflicting severe emotional distress and humiliation.

As global criticism mounted, xAI announced restrictions on Grok's photo editing capabilities. The legal dispute has since moved to federal court amidst xAI's countersuit, challenging St Clair's choice of court venue.

(With inputs from agencies.)

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