Skip to content
CityAM
Main navigation
  • News
    • News
      • Latest Business News
      • Economics
      • Politics
      • Tech
      • Banking
      • FTSE 100 Live
      • Retail
      • Insurance
      • Legal
      • Property
      • Transport
      • Markets
    • From our partners
      • AON
      • Bayes Business School
      • Canada BIDs
      • Central London Alliance CIC
      • Destination City
      • Halkin
      • Olympia
      • Inside Saudi
      • Tottenham Hotspur Stadium
      • Santander X
      • YEAR SIX Dividend
    • Featured

      Manchester United bank eight-figure fee from Amazon All Or Nothing deal

      Business professionals discussing strategy at a conference table, highlighting teamwork and collaboration in a modern offi...

      Submit a story

      Tell us your story.

      Submit
  • Opinion
  • Sport
    • Latest Sports News
      • Sport
      • Sport Business
    • From our partners
      • The Morning Briefing: SBS x CityAM
      • Aramco Team Series
      • LIV Golf
    • Featured

      Manchester United bank eight-figure fee from Amazon All Or Nothing deal

      Business professionals discussing strategy at a conference table, highlighting teamwork and collaboration in a modern offi...

      Submit a story

      Tell us your story.

      Submit
  • Life&Style
    • Life&Style
      • Life&Style
      • Toast the City Awards
      • The Magazine
      • Travel
      • Culture
      • Motoring
      • Wellness
      • The RED BULLETiN
      • Do it with Shared Ownership
      • Media Speak Hub
    • Featured

      The best places to eat sandwiches in Lisbon, from bifanas to pregos

      Bifana do Afonsos famous bifana sandwich showcasing tender pork in a freshly baked roll with savory sauce.

      Submit a story

      Tell us your story.

      Submit
  • Investec
  • Events
  • Latest Paper
Wednesday 07 January 2026 2:16 pm  |  Updated:  Wednesday 07 January 2026 4:21 pm

Grok scandal exposes Online Safety Act flaws

By: Saskia Koopman

Tech Reporter

Add as a preferred source on Google
Grok product interface showcasing advanced AI features for efficient data analysis on a sleek digital dashboard
The company also said it had geoblocked some functions

The UK’s relatively new Online Safety Act was sold as its long-overdue answer to the alarming harms of social media.

Brits were promised a framework tough enough to bar Silicon Valley access, tough enough to promote innovation, and strong enough to keep its users, particularly children, from digital abuse.

Barely months into its rollout, controversial tech billionaire Elon Musk’s AI chatbot, Grok, is testing whether that promise was slightly overstated.

Grok, built by Musk and embedded directly into his social media platform, X, has been used at scale to generate sexualised pictures of women and girls, with no consent.

It was reported this week that users have prompted the open-source tool to digitally undress women and kids, dressing them in bikinis, and recreate pornographic scenarios.

All of these findings were from public threads, visible to any other users scrolling past. And in some cases, the images involved underage minors.

It was confirmed that the platform produced dozens of sexualised images in a matter of minutes, including depictions of young girls.

High-profile women like Maya Jama publicly condemned the abuse after discovering AI-edited photos of themselves unclothed circulating on the platform.

For critics of the UK’s Online Safety Act, this is precisely the type of scenario they warned about.

A law built for platforms, not AI

The Online Safety Act was built around a clear model in which platforms host content, users post it, and regulators step in when any harm occurs.

But as tech accelerates, inevitably, generative AI has broken that logic.

In this case, Grok isn’t just widely distributing harmful, upsetting content; it is, arguably, more alarmingly, generating it altogether at industrial speed.

Read more

Bluesky bets on the end of X and Meta’s social media grip

Elon Musk owns X

While the OSA has made it illegal to create or share explicit photos without consent, even when generated by deepfakes, it is far less black-and-white when the ‘creator’ is an automated system already embedded in a platform.

X, formerly Twitter, has treated its bot subsidiary as a separate product altogether, despite the images appearing on its feed, to its users, within UK jurisdiction.

And while this distinction may not survive legal scrutiny, it shows a structural weakness. The Act wouldn’t have anticipated AI systems acting like content engines, rather than neutral tools.

Ofcom under pressure

Regulator Ofcom has made ‘urgent contact’ with X and xAI to assess whether the firms are complying with their duties under the Act.

This forms a step forward compared with the pre-OSA era, when regulators often relied on voluntary cooperation, but enforcement credibility remains on the line.

The regulator has moved quickly against offshore pornography sites and smaller operators, fining firms seven-figure bills and threatening access blocks.

But Grok is on a much harder test as a high-profile, politically charged heavyweight, not to mention its backing by a company that raised $20bn in fresh funding this week.

If enforcement falters in this case, critics will see it as a confirmation that the Act has teeth only when biting easier targets.

Already outdated

The uncomfortable conclusion is that the Online Safety Act may be arriving, just as the ground shifts beneath it.

Designed for an internet of posts and platforms, it now faces an internet of models and machines.

Grok’s deepfake scandal does not mean the Act is useless, but it does suggest it is incomplete.

However, without quicker guidance, clearer red tape and an overall more proactive stance on AI-generated harm, the laws risk becoming another example of regulation being two steps behind.

Read more

Will the SpaceX IPO send retail investors into orbit?

Elon Musk speaking at a tech conference, wearing a suit, with a futuristic backdrop highlighting space exploration themes

Share this article

  • Facebook
  • X
  • LinkedIn
  • WhatsApp
  • Email

Similarly tagged content:

Sections

  • News

Categories

  • Business
  • Legal
  • Tech

People & Organisations

  • artificial intelligence
  • elon musk
  • meta
  • online safety
  • Online Safety Act
  • social media
  • xAI

Trending Articles

  • London Tech Week sums up everything wrong with UK tech

  • Inflation expectations at record high in interest rates signal

  • KPMG’s Summer Friday half-day rollback signals deeper woes for Big Four giants

  • FTSE 100 Live: BP and Shell subdue City stock rally as oil price tumbles

  • New Gluten-Free Bread Binder Simplifies the Recipe — and Boosts Bread Quality

More from CityAM

  • Bluesky bets on the end of X and Meta’s social media grip

    Tech
    Elon Musk owns X
  • Will the SpaceX IPO send retail investors into orbit?

    Investing
    Elon Musk speaking at a tech conference, wearing a suit, with a futuristic backdrop highlighting space exploration themes
  • SpaceX IPO puts Musk’s AI empire – and ambitions – in the spotlight

    Tech
    No specific content provided to generate descriptive alt text. Please include more context or details from the article.
  • Space X bumps back to earth as analysts slash value 

    Investing
    Elon Musk discussing SpaceX investment as Scottish Mortgages largest holding on a business news platform
  • ‘Protecting children is right’: Starmer takes on Big Tech with social media ban for under-16s

    Politics
    Keir Starmer speaks in Downing Street
  • Starmer prepares child social media curbs as pressure mounts on addictive apps

    Tech
    Keir Starmer stands with a British flag, highlighting political leadership and national pride in a business news context.
  • ‘Nobody’s getting a free pass’: Starmer warns Big Tech as social media ban looms

    Tech
    Prime Minister Keir Starmer addressing media at a press conference podium, discussing current governmental policies and in...
  • Interactive Brokers Integrates AI into Client Portfolios – Informed by Agentic Technology, Controlled by the Client

    Business Wire
  • Terms & Conditions
  • Privacy Policy
  • Cookie Policy
  • News
  • Markets & Economics
  • Politics
  • Opinion
  • Life&Style
  • Personal Finance

Follow us for breaking news and latest updates

  • Facebook
  • X
  • Instagram
  • LinkedIn
Copyright 2026 CityAM Limited