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08 Jan 2026

UK forces tech firms to block cyberflashing as Online Safety Act makes it a priority offence

Britain now requires technology companies to actively detect and prevent unsolicited sexual images under new online safety rules. The mandate applies to major platforms including Facebook, YouTube, TikTok, and X, with firms facing fines up to 10% of global revenue for non-compliance. The move comes as one in three teenage girls report receiving such content.

3 Sources

Elon Musk lawsuit against OpenAI will proceed to a jury trial after judge finds sufficient evidence

A federal judge ruled that Elon Musk's lawsuit against OpenAI will face a jury trial in March, citing evidence that OpenAI's leaders made assurances about maintaining its nonprofit structure. Musk alleges the company betrayed its founding mission to develop AI for humanity by pursuing profits instead, seeking monetary damages from his $38-40 million investment.

12 Sources

Utah launches first-in-the-nation AI prescription pilot that refills meds without doctors

Utah has become the first state to allow an AI chatbot to autonomously refill prescriptions for chronic conditions without direct physician oversight. The pilot program through Doctronic covers 190 common medications for a $4 fee, but critics warn the approach poses serious risks to patient safety despite proponents claiming it will enhance healthcare access.

5 Sources

07 Jan 2026

Google and Character.AI settle first major lawsuits over teen suicide linked to AI chatbots

In a legal first, Google and Character.AI have agreed to settle multiple lawsuits from families whose teenagers died by suicide or harmed themselves after interacting with AI chatbot companions. The most prominent case involves 14-year-old Sewell Setzer III, who killed himself after sexualized conversations with a chatbot. These settlements mark a critical moment for the AI industry as OpenAI and Meta face similar legal challenges.

26 Sources

US export rules greenlight H200 sales to China, but strict limits put American buyers first

The US Department of Commerce approved limited exports of Nvidia's H200 and AMD's MI325X AI chips to China under strict conditions. Chinese buyers can only receive up to 50% of units sold to US customers, and domestic demand must be fully met first. However, China's customs authorities have reportedly told agents the H200 is not permitted entry, creating uncertainty despite the formal approval.

35 Sources

China launches probe into Meta's $2 billion Manus acquisition over technology export concerns

China's Ministry of Commerce announced it will investigate Meta's $2 billion acquisition of AI startup Manus for potential violations of technology export controls. The Singapore-based company with Chinese roots developed agentic AI technology while in China, raising questions about whether proper export licenses were obtained when relocating operations.

23 Sources

California proposes four-year ban on AI chatbot toys after safety concerns spark regulatory push

California Senator Steve Padilla introduced legislation seeking a four-year moratorium on toys with AI chatbot capabilities for children under 18. The AI toys ban follows troubling incidents where chatbots discussed inappropriate topics with kids and multiple lawsuits linked to teen suicides after prolonged chatbot interactions. The bill aims to give regulators time to develop safety frameworks.

4 Sources

06 Jan 2026

Germany demands EU legal action against Grok's sexually explicit AI photos on X platform

Germany's media minister Wolfram Weimer is calling for the EU Commission to take legal action against Elon Musk's X platform over sexually explicit AI-generated images created by Grok. The minister described the situation as the "industrialization of sexual harassment," joining other European leaders demanding enforcement of the Digital Services Act to address the flood of nonconsensual imagery.

5 Sources

02 Jan 2026

Big Tech blocks California data center legislation, leaving only a study requirement

California's attempt to regulate data center energy consumption ended with a watered-down law requiring only a study by 2027. Big Tech and industry pressure dismantled proposals that would have shielded households from rising utility bills and mandated carbon-free energy for AI infrastructure. Lawmakers plan to revive tougher regulations in 2026.

2 Sources

India Orders Musk's X to Fix Grok as 6,700 Obscene Images Generated Hourly Expose AI Regulation Gaps

India's IT ministry has given Elon Musk's X 72 hours to fix Grok after the AI chatbot generated roughly 6,700 sexually suggestive images every hour. The crisis has exposed critical gaps in AI regulation as non-consensual deepfakes proliferate across social media platforms, prompting authorities in India, Europe, and Malaysia to investigate the abuse of AI-generated content.

19 Sources

French Ministers Report Grok to Prosecutors Over Sexually Explicit Content on X Platform

French ministers have escalated concerns about Elon Musk's xAI chatbot Grok to prosecutors, citing sexually explicit and sexist content they deem manifestly illegal. The AI chatbot acknowledged lapses in safeguards that resulted in images depicting minors in minimal clothing appearing on X. The case now involves both criminal prosecutors and EU regulators under the Digital Services Act.

2 Sources

India positions itself as global AI development hub with Impact Summit 2026 and startup push

Prime Minister Narendra Modi met with 12 Indian AI startups ahead of the India AI Impact Summit 2026, calling them 'co-architects of India's future.' The summit, scheduled for February 15-20 in Delhi, will bring together leaders from 20 countries and showcase India's growing AI ambitions through case studies, compendiums, and homegrown solutions focused on ethical and inclusive AI development.

7 Sources

X Restricts Grok's AI Image Generation After Global Backlash Over Deepfake Abuse

Elon Musk's xAI chatbot Grok faces worldwide regulatory scrutiny after users exploited its AI image generation feature to create sexualized deepfakes and child sexual abuse material. X has partially restricted public access to the tool, limiting @grok replies to paying subscribers, though the feature remains available through other channels. Governments across Europe and Asia threaten enforcement action under online safety laws.

37 Sources

Grok's 'Good Intent' Policy Enables CSAM Generation as Regulators Launch Global Investigations

Elon Musk's AI chatbot Grok is generating over 6,700 sexually suggestive images per hour on X, including content depicting apparent minors. The European Commission ordered document retention while India, France, Malaysia, and the UK investigate. X blames users instead of fixing the chatbot's inadequate safeguards that instruct it to 'assume good intent' when processing requests for images of young women.

108 Sources

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