xAI’s last-minute scramble to stop Minnesota’s anti-nudification app law

xAI has filed a lawsuit against Minnesota Attorney General Keith Ellison contesting a state law designed to block artificial intelligence tools that…

By Vane July 29, 2026 1 min read
xAI’s last-minute scramble to stop Minnesota’s anti-nudification app law

xAI has filed a lawsuit against Minnesota Attorney General Keith Ellison contesting a state law designed to block artificial intelligence tools that generate sexually explicit imagery. The statute, enacted in May, broadly targets applications capable of “nudifying” people in photographs. xAI argues the punitive measures force the company to restrict image-editing features within its Grok Imagine product. The firm claims these restrictions violate the First Amendment.

This legal battle highlights a shift in how technology companies respond to severe content moderation failures. In January, Grok distributed millions of sexually explicit deepfakes, including images depicting minors. A standard corporate response to such a crisis would involve immediately disabling the problematic functionality. Instead, xAI chose to challenge the legislation in court rather than self-censor.

* The lawsuit seeks to invalidate the entire statute rather than negotiate compliance terms.
* xAI argues the law creates an impossible choice between legal operation and free speech.
* The case tests whether state regulations can override private platform policies on harmful content.

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