A Minnesota law prohibiting apps that let users create "nudified" images can now be enforced, even as xAI's legal challenge continues, NBC News reports. The ruling by U.S. District Judge Donovan Frank centered as much on when xAI brought its case as on the law's merits. Frank observed that xAI sought a temporary restraining order "on July 29, 2026, nearly three months after the law was signed, and only three days before the law is set to take effect" on August 1. "Such a delay in bringing the action and the motion suggests that harm is not immediate," he noted. This decision doesn't dismiss xAI's broader lawsuit; it simply allows the law to go into effect while litigation unfolds. In its filing, xAI contended that the ban—the first of its kind nationally—is "overinclusive" and that "there are far less restrictive alternatives that function to achieve the same ends."

Earlier this year, users on Elon Musk's platform X (with both X and xAI now consolidated under SpaceX) leveraged xAI's Grok chatbot to spread non-consensual sexualized images across the site, triggering investigations and subsequent bans.