Grok AI Faces EU Investigation Under DSA

Grok AI Faces EU Investigation Under DSA

The European Commission has launched a new formal investigation into X under the Digital Services Act (DSA), intensifying regulatory scrutiny over the platform’s use of its AI chatbot, Grok. Announced on January 26, the move follows mounting concerns that Grok AI image-generation and recommender functionalities may have exposed users in the EU to illegal and harmful content, including manipulated sexually explicit images and material that could amount to child sexual abuse material (CSAM).

This latest European Commission investigation into X runs in parallel with an extension of an ongoing probe first opened in December 2023. The Commission will now examine whether X properly assessed and mitigated the systemic risks associated with deploying Grok’s functionalities into its platform in the EU, as required under the Digital Services Act (DSA).

Focus on Grok AI and Illegal Content Risks

At the core of the new proceedings is whether X fulfilled its obligations to assess and reduce risks stemming from Grok AI. The Commission said the risks appear to have already materialised, exposing EU citizens to serious harm.

Regulators will investigate whether X:

  • Diligently assessed and mitigated systemic risks, including the dissemination of illegal content, negative effects related to gender-based violence, and serious consequences for users’ physical and mental well-being.
  • Conducted and submitted an ad hoc risk assessment report to the Commission for Grok’s functionalities before deploying them, given their critical impact on X’s overall risk profile.

If proven, these failures would constitute infringements of Articles 34(1) and (2), 35(1), and 42(2) of the Digital Services Act. The Commission stressed that the opening of formal proceedings does not prejudge the outcome but confirmed that an in-depth investigation will now proceed as a matter of priority.

Recommender Systems Also Under Expanded Scrutiny

In a related step, the European Commission has extended its December 2023 investigation into X’s recommender systems. This expanded review will assess whether X properly evaluated and mitigated all systemic risks linked to how its algorithms promote content, including the impact of its recently announced switch to a Grok-based recommender system.

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As a designated very large online platform (VLOP) under the DSA, X is legally required to identify, assess, and reduce systemic risks arising from its services in the EU. These risks include the spread of illegal content and threats to fundamental rights, particularly those affecting minors.

Henna Virkkunen, Executive Vice-President for Tech Sovereignty, Security and Democracy, underlined the seriousness of the case in a statement:

“Sexual deepfakes of women and children are a violent, unacceptable form of degradation. With this investigation, we will determine whether X has met its legal obligations under the DSA, or whether it treated rights of European citizens – including those of women and children – as collateral damage of its service.”

Earlier this month, a European Commission spokesperson had also addressed the issue while speaking to journalists in Brussels, calling the matter urgent and unacceptable. “I can confirm from this podium that the Commission is also very seriously looking into this matter,” the spokesperson said, adding: “This is not ‘spicy’. This is illegal. This is appalling. This is disgusting. This has no place in Europe.”

International Pressure Builds Around Grok AI

The investigation comes against a backdrop of rising regulatory pressure worldwide over Grok AI’s image-generation capabilities. On January 16, X announced changes to Grok aimed at preventing the creation of nonconsensual sexualised images, including content that critics say amounts to CSAM. The update followed weeks of scrutiny and reports of explicit material generated using Grok.

In the United States, California Attorney General Rob Bonta confirmed on January 14 that his office had opened an investigation into xAI, the company behind Grok, over reports describing the depiction of women and children in explicit situations. Bonta called the reports “shocking” and urged immediate action, saying his office is examining whether the company may have violated the law.

U.S. lawmakers have also stepped in. On January 12, three senators urged Apple and Google to remove X and Grok from their app stores, arguing that the chatbot had repeatedly violated app store policies related to abusive and exploitative content.

Next Steps in the European Commission Investigation Into X

As part of the Digital Services Act (DSA) enforcement process, the Commission will continue gathering evidence by sending additional requests for information, conducting interviews, or carrying out inspections. Interim measures could be imposed if X fails to make meaningful adjustments to its service.

The Commission is also empowered to adopt a non-compliance decision or accept commitments from X to remedy the issues under investigation. Notably, the opening of formal proceedings shifts enforcement authority to the Commission, relieving national Digital Services Coordinators of their supervisory powers for the suspected infringements.

The investigation complements earlier DSA proceedings that resulted in a €120 million fine against X in December 2025 for deceptive design, lack of advertising transparency, and insufficient data access for researchers. With Grok AI now firmly in regulators’ sights, the outcome of this probe could have major implications for how AI-driven features are governed on large online platforms across the EU.



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