Deepfakes scandal puts Elon Musk and X under scrutiny in France
Grok generated deepfakes prompt investigation into market manipulation claims.
French prosecutors have escalated concerns about deepfakes linked to Elon Musk’s platform X, alerting US authorities to suspicions that manipulated content may have been used to influence the company’s valuation.
According to the Paris prosecutor’s office, the controversy surrounding sexually explicit deepfakes generated by Grok, X’s AI tool, may have been deliberately amplified to artificially boost the value of X and its associated AI entity ahead of a planned stock market listing in June 2026.
Authorities in France confirmed they had contacted the US Department of Justice and legal representatives at the Securities and Exchange Commission to share findings related to the deepfakes investigation and potential financial implications.
The case builds on an ongoing French probe into X, which initially focused on alleged algorithmic interference in domestic politics. Investigations have since expanded to include the spread of Holocaust denial content and the dissemination of sexualised deepfakes through Grok.
French regulators have taken additional steps, including summoning Musk for a voluntary interview and conducting searches at X’s local offices, actions he has described as politically motivated. Parallel investigations have also been launched in the UK and across the European Union into the use of AI tools to generate harmful deepfakes involving women and minors.
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