Ireland takes legal action against X over data privacy

The outcome of this case could set a significant precedent for GDPR enforcement against Big Tech companies.

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The Irish Data Protection Commission (DPC) has launched legal action against the social media platform X, formerly Twitter, in a case that revolves around processing user data to train Musk’s AI large language model called Grok. The AI tool or chatbot was developed by xAI, a company founded by Elon Musk, and is used as a search assistant for premium users on the platform.

The DPC is seeking a court order to stop or limit the processing of user data by X for training its AI systems, expressing concerns that this could violate the European Union’s General Data Protection Regulation (GDPR). The case may be referred to the European Data Protection Board for further review.

The legal dispute is part of a broader conflict between Big Tech companies and regulators over using personal data to develop AI technologies. Consumer organisations have accused X of breaching GDPR, a claim the company has vehemently denied, calling the DPC’s actions unwarranted and overly broad.

The Irish DPC has an important role in overseeing X’s compliance with the EU data protection laws since the platform’s operations in the EU are managed from Dublin. The current legal proceedings could significantly shift how Ireland enforces GDPR against large tech firms.

The DPC is also concerned about X’s plans to launch a new version of Grok, which is reportedly being trained using data from the EU and European Economic Area users. The privacy watchdog argues that this could worsen existing issues with data processing.

Despite X implementing some mitigation measures, such as offering users an opt-out option, these steps were not in place when the data processing began, leading to further scrutiny from the DPC. X has resisted the DPC’s requests to halt data processing or delay the release of the new Grok version, leading to an ongoing court battle.

The outcome of this case could set a precedent for how AI and data protection issues are handled across Europe.