xAI and Stability AI Sued Over AI-Generated Child Abuse Material

Five anonymous child plaintiffs, including three from Tennessee, filed a federal class action lawsuit against xAI and Stability AI. The lawsuit alleges both companies provided AI tools that allowed for the creation of child sexual abuse material using the plaintiffs' photographs without their knowledge or consent.

Plaintiffs argue the companies failed to implement industry-standard safeguards. The filing specifically cites Grok's Spicy Mode as a feature that offers adult-oriented content and invokes a 2025 Tennessee law that establishes criminal penalties for technology designed to create AI-generated child sexual abuse material.

Stability AI denied the allegations, stating any suggestion that safety is not a priority is categorically wrong. xAI also denied the claims and announced new measures to prevent the editing of images of real people in revealing clothing, alongside geoblocking in jurisdictions where such content is illegal.