Latest / Elon Musk Podcast / EU Opens Major Investigation Into Elon Musk's X
Transcript
- 0:00The European Commission launched a formal investigation into Elon
- 0:03Musk's X platform today over the Grok AI chatbot's ability to
- 0:07generate sexually explicit deepfake images of women and
- 0:11children. Now, the probe comes after Grok
- 0:14users created roughly 3,000,000 sexualized images in just 11
- 0:18days, according to research from the Center for Countering
- 0:21Digital Heat, with an estimated 23 thousand of those images
- 0:25appearing to depict minors. Now, if X is found to have
- 0:28violated the Digital Services Act, the company could face
- 0:31fines reaching 6% of its total global revenue.
- 0:36Now, what safeguards did X failed to implement before
- 0:38rolling out a tool that produced 190 explicit images per minute?
- 0:43The investigation will examine whether X properly assessed and
- 0:46mitigated risks before deploying Grok in the EU, and whether the
- 0:50platform's response to the crisis came too late.
- 0:53We'll cover the specific allegations against X, the
- 0:55regulatory firestorm now spreading across multiple
- 0:58continents and the statement from the E us henna Vicanin but
- 1:02calling those deep fakes the violent form of degradation and
- 1:06we'll get right back into that after this short break.
- 1:10Now the European Commission announced Monday that it is
- 1:13opening a wide reaching investigation of the X under the
- 1:15digital services act, the block sweeping rule book for keeping
- 1:19Internet users safe from harmful content.
- 1:21And the pro focus is on whether X conducted proper risk
- 1:24assessments before adding Grok's image generation capabilities to
- 1:28its platform, and whether the company took adequate steps to
- 1:31prevent illegal content from spreading across the EU.
- 1:35Now the scandal erupted in late December 2025 when XAI rolled
- 1:39out a one click image editing feature for Grok that allowed
- 1:42users to alter photos with a single prompt.
- 1:46Within days, users discovered they could digitally undress
- 1:49real people, including celebrities, politicians and
- 1:53ordinary social media users, by uploading the photos and
- 1:56requesting Grok to generate explicit versions.
- 1:59Bloomberg research found that X users utilizing Grok posted more
- 2:03non consensual naked or sexual imagery than users of any other
- 2:07website during this period. The feature XEI marketed as
- 2:12Spicy Mode became a factory for harassment at scale.
- 2:16Unlike competing AI image generators from Open AI, Google
- 2:19Grok appears to have launched without adequate safeguards to
- 2:22prevent the creation of intimate and nudified images of real
- 2:26people. Henna Verkinen, the EU's
- 2:29executive vice president for tech, sovereignty, security and
- 2:32democracy, issued a blistering statement alongside the
- 2:35investigation announcement. She got sexual defects of women
- 2:38and children. A violent and unacceptable form
- 2:41of degradation is stated directly that the investigation
- 2:44will determine whether X met its legal obligations under the DSA
- 2:48or whether it treated the rights of European citizens, including
- 2:51those of women and children, as collateral damage of its
- 2:56ServiceNow. The Commission also revealed it
- 2:58is extending a separate investigation into X's
- 3:00recommendation systems that began in December 2023,
- 3:04examining whether X's algorithm is disseminating illegal
- 3:08content, including sexual child abuse material.
- 3:12That expansion signals the Grot controversy has exposed deeper
- 3:16systemic problems with how X moderates contact across its
- 3:20entire platform. Now X responded to the
- 3:22investigation by pointing to measures that it implemented in
- 3:25mid January after the global outcry peaked.
- 3:29They got caught, so they did that.
- 3:30And the company said it takes action to remove high priority
- 3:34volatile and other sexualized content and non consensual
- 3:39nudity, and that it takes appropriate action against
- 3:41accounts to violate its rules now.
- 3:44X also stated it reports accounts seeking Child
- 3:46Exploitation materials to law enforcement is necessary.
- 3:49A European Commission official acknowledged these measures
- 3:53during a briefing, but told journalists the company had not
- 3:55properly assessed the risks before launching this chatbot.
- 3:59The official, who asked to remain anonymous, said the
- 4:03Commission has quite a few tools at its disposal and that he find
- 4:07was possible. Now what we are after is
- 4:09changing the platform's behavior.
- 4:11They stated. I've been digging into the stats
- 4:14of the show, 37% of you are following the channel.
- 4:18I'd love you, thank you. And 6063%, I got my math right
- 4:21there around that amount. It's actually went up now.
- 4:24So there's more like 39% people following and 61% of you aren't
- 4:30following. So we're we're growing people.
- 4:33This is great, but you just haven't hit the follower
- 4:36subscribe button if you're not following already.
- 4:39And I've been doing this for about 6 to 8 years.
- 4:41Somewhere in that time frame, I actually looked back the other
- 4:44day, over 1000 episodes of this. I'm going to be doing it for the
- 4:48next 10 years. All they ask from you is one
- 4:50second of your time. Hit the follower subscribe
- 4:52button on whatever platform you're on right now.
- 4:54I'll be gratefully, gratefully blissed to have you here.
- 4:58Thank you so much and let's get back into this deep concerning
- 5:02topic that's going on right now. This investigation from the EU
- 5:07adds to a mounting pile of regulatory actions against X and
- 5:11XAI across multiple jurisdictions.
- 5:13California Attorney General Rob Banta announced an investigation
- 5:17on January 14th and followed up with a cease and desist letter
- 5:20demanding XAI immediately halt the creation and distribution of
- 5:24deep fake images. Bonta cited an analysis showing
- 5:27that more than half of the 20,000 images generated by XAI
- 5:30between Christmas and New Year's depicted people in minimal
- 5:34clothing, with some appearing to be children.
- 5:36Disgusting. California Department of Justice
- 5:39gave XAI 5 days to provide confirmation of steps it was
- 5:43taking to address the issues in a coalition of 35 state
- 5:47attorneys general also sent a letter demanding XCI take
- 5:51additional action to prevent Grok from generating non
- 5:53consensual intimate images and child sexual abuse material.
- 5:58Now, the United Kingdom's media regulatory regulator Ofcom
- 6:02launched its own formal investigation on January 12th
- 6:05under the Online Safety Act, and UK Prime Minister Kier Starmer
- 6:10called the Grok generated images disgusting and unlawful, saying
- 6:14X needed to get a grip on the application.
- 6:16Ofcom has the power to impose fines of 10% of worldwide
- 6:20revenue for breaches of its rules, and could potentially
- 6:23seek a court order forcing Internet service providers to
- 6:25ban X entirely in Britain. Now, when asked whether X could
- 6:30be banned, Business Secretary Peter Kyle responded yes, of
- 6:33course, though he noted that power rests with Ofcom.
- 6:37Indonesia banned Croc outright on January 10th, and Malaysia
- 6:40followed suit on January 11th before partially lifting its
- 6:43restrictions. France, Germany, Australia have
- 6:46also opened their own investigations into the
- 6:48platform. Now, the timeline of X's
- 6:51response reels a company scrambling to contain damage
- 6:54rather than prevent harm and damage.
- 6:57When criticism first emerged in early January, Musk mocked the
- 7:01outcry on his X account, as he usually does.
- 7:04The company initially responded by limiting explicit image
- 7:07generation to just paying subscribers and moves Starmer
- 7:10condemned as an effort, a front to victims and not a solution.
- 7:15By January 14th, after investigations had launched in
- 7:18multiple countries, X finally announced it would prevent all
- 7:21users from using Grok to create images of real people in
- 7:24revealing clothing. The company also said it would
- 7:27Geo block the feature in jurisdictions where such content
- 7:30is illegal. So while all of this was going
- 7:33on, I wanted to see if X was actually doing this, if they
- 7:38were stopping and limiting the image generation for all users.
- 7:44I'm a paying customer of X, so I should not have had asked Grok.
- 7:49I asked X to generate a picture of of the President of the
- 7:55United States in a string bikini.
- 7:58And guess what? 4 seconds later, there you go,
- 8:02made Donald Trump in a string bikini.
- 8:04And it was disgusting. And by the way, it was pretty
- 8:06gross and weird. So I was like, you know what?
- 8:09Maybe, maybe it was a fluke. Let's try it on Elon.
- 8:13Tried it on Elon, same thing happened.
- 8:16That also was not very flattering.
- 8:19But just to show you that there are ways around this and you
- 8:22could make sexually explicit images of people without their
- 8:28consent very easily. Mine were in a bikini.
- 8:33So not that big of a deal, right?
- 8:35But it was about another person, which is not the right thing to
- 8:39do. You're not supposed to make
- 8:40those images of other people. So even though they did restrict
- 8:44people from doing it, there's still ways around it.
- 8:47Now let's get back into the story and see what kind of fines
- 8:53and legal, regulatory actions are going to be taken.
- 8:59This financial exposure for X is pretty big.
- 9:02EU already find the platform $140 million in December over
- 9:06its deceptive design of the blue verification check mark.
- 9:09Of course, X has not paid that fine yet, according to EU
- 9:13officials, though the company still has time to settle it.
- 9:16ADSA violation in this new investigation could result in
- 9:19fines up to 6% of global annual revenue.
- 9:24The UK's Online strategy Air Safety Act carries similar
- 9:28penalties of up to 10% of worldwide revenue.
- 9:31Multiple civil lawsuits have also been filed, including one
- 9:34from Ashley Sinclair, the mother of one of Elon Musk's children,
- 9:38who alleges Grok generated sexualized images depicting her
- 9:42as a child, in a bikini, as an adult and sexually explicit
- 9:46poses. Disgusting.
- 9:48Now the Grok investigation arrives at a tense moment in
- 9:50transatlantic relations. US Secretary of State Marco
- 9:53Rubio responded to the December EU find by saying the Block is
- 9:57attacking American companies, and a State Department official
- 10:00warned that nothing is off the table when it comes to free
- 10:02speech. The EU has made clear that its
- 10:05focus is changing platform behavior rather than simply
- 10:08collecting fines. The Digital Services Act gives
- 10:11regulators the power to impose operational requirements, demand
- 10:16specific changes to product features, leave it suspend
- 10:18services that repeatedly violate European law.
- 10:22No other X will face such drastic measures.
- 10:25Depends on the investigation's findings and the company's
- 10:27willingness to implement meaningful safeguards.