AI Content Liability

Bloomberg reports that xAI's chatbot Grok is accused in multiple class actions of being used to turn ordinary photos of minors into child sexual abuse material (CSAM) that then spread online. The cases center on a still-unsettled question of who bears liability when a chatbot generates harmful content, the user who prompts it or the company that builds it, with plaintiffs pointing to xAI's deliberately less-restricted positioning and its Spicy mode despite stated technical safeguards.