Elon Musk’s xAI has sued a Grok user, accusing him of using the chatbot to create child sexual abuse material and non-consensual explicit deepfakes.

The lawsuit was filed in federal court in Texas against Terry Wayne Harwood, a South Carolina man who was arrested earlier this year on charges linked to the sexual exploitation of minors. The case is one of the first known lawsuits by an AI company against a user accused of creating illegal explicit content with an AI system.

xAI alleges that Harwood violated the company’s Terms of Service and Acceptable Use Policy by using Grok to alter non-sexual photos into sexually explicit images without the subjects’ knowledge or consent.

The company claims Harwood created multiple xAI accounts and used misleading prompts to bypass safeguards designed to block illegal or abusive content. The lawsuit says the alleged material included both minors and adults.

xAI also claims Harwood’s alleged actions exposed the company to legal risk and reputational damage.

In the lawsuit, xAI says it has taken action against large numbers of accounts linked to illegal or abusive material.

The company claims it suspended more than 52,000 accounts and made more than 73,000 reports to the National Center for Missing & Exploited Children in 2026. It also says those reports contributed to at least 244 arrests.

xAI is seeking damages and a court order that would permanently bar Harwood from using Grok, according to Reuters.

The lawsuit comes after Grok faced criticism over AI-generated sexualized deepfakes.

Earlier this year, teenagers sued xAI in California, alleging that Grok was used to generate sexualized images of minors from ordinary photos. The case raised wider concerns about AI tools that can alter images and create harmful deepfake content.

xAI has also faced criticism over Grok’s image tools after reports of non-consensual explicit deepfakes. The company later restricted some image-editing capabilities and said it had a zero-tolerance policy on sexual exploitation and non-consensual nudity.

Elon Musk had previously said users who create illegal content with Grok would face the same consequences as those who upload illegal content.

xAI cited that position in its lawsuit, arguing that Harwood’s alleged use of Grok broke the company’s rules and harmed both victims and the platform.

The case could become an important early test of how AI companies respond when users allegedly misuse generative AI tools to create illegal or abusive content.

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