US appeals court blocks Minnesota AI deepfake law in xAI lawsuit

The state's anti-"nudification" law, which took effect on August 1, prohibits website operators, software developers and others from allowing users to create realistic images depicting an intimate body part that is not shown in an original photo of an identifiable individual. xAI alleges the measure restricts free speech protected by the US Constitution.

Minnesota and xAI did not immediately respond to requests for comment. US District Judge Donovan Frank ruled last month that xAI had not shown it would suffer irreparable harm while challenging the law and said the company had waited too long to seek emergency relief. In its appeal, xAI disputed the judge's finding that it delayed bringing suit. The company also said its Grok Imagine tool includes "rigorous protections" against creating nudified or sexualized images of real people. xAI has begun suing users whom it alleges are evading Grok’s technological blockers to create sexual images of people without their consent.

Minnesota had urged the appeals court not to block the law. The state has said it adopted the measure this year to combat the spread of what it called a “staggering amount (of) child sexual abuse material that AI products like Grok Imagine generate.”