
French prosecutors raid X’s Paris offices as probe into platform algorithms intensifies
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European Commission Opens Probe of X’s Grok Over AI-Generated Sexual Imagery and Possible CSAM
The European Commission has launched a formal investigation into X’s deployment of the Grok AI model to determine whether it allowed the creation or spread of sexually explicit synthetic images, including material that may meet the threshold for child sexual abuse images. The probe follows reporting and parallel legal and regulatory action in multiple jurisdictions — including a lawsuit from a woman alleging non-consensual sexualized images, national blocks on the service, and inquiries from UK, French and U.S. authorities — and will test X’s risk controls under the Digital Services Act.

Spain orders prosecutors to probe X, Meta and TikTok over AI-generated child sexual abuse material
Spain has instructed prosecutors to open criminal inquiries into X, Meta and TikTok over alleged AI-generated child sexual abuse material, part of a wider push that includes a proposed minimum social‑media age of 16. The step comes amid parallel EU and national scrutiny of generative‑AI features — notably a formal Brussels inquiry into X’s Grok and recent French judicial actions — signaling growing cross‑border legal pressure on platforms.

X to Rework EU Verification After €120M DSA Penalty
X will overhaul its European verification model after a €120 million sanction from EU regulators under the Digital Services Act, prompting platform governance changes and higher compliance costs. The European Commission will evaluate X’s proposed remedies, a decision likely to reshape verification practices across major social networks.

FTC intensifies investigation into Microsoft’s cloud and AI commercial practices
The U.S. Federal Trade Commission has moved into an active evidence-collection phase, issuing formal information requests to multiple Microsoft rivals about cloud, enterprise software and AI licensing. The inquiries broaden the agency’s reach beyond consumers and could presage enforcement actions that reshape how enterprise AI and cloud products are licensed and bundled.
Mother of one of Elon Musk’s children sues xAI over sexualized AI images amid regulatory backlash
A woman who is the mother of one of Elon Musk’s children has filed suit against xAI, alleging the company’s image-generation tools produced sexually explicit, non-consensual images of her and seeking court protection. The case amplifies regulatory pressure on xAI — including probes, threatened fines and national bans — and comes as the company moves to constrain its image features amid growing scrutiny.

German prosecutors search Deutsche Bank offices in money‑laundering inquiry
German federal prosecutors and the national criminal police executed searches at Deutsche Bank locations in Frankfurt and Berlin as part of a money‑laundering investigation into relationships the bank maintained with certain overseas companies. The action has clouded an impending earnings release, triggered a near‑2% share price wobble and drawn media attention to possible links with a sanctioned Russian businessman, which his legal team rejects.

EU launches new antitrust probe into Google's search-ad pricing
European regulators in Brussels have opened a formal inquiry into whether Google’s commercial terms and technical controls raise advertisers’ costs for placements in search results. The probe comes amid parallel EU actions — including DMA-driven demands for data parity and a publishers’ complaint over AI-generated summaries — that could shape remedies and increase pressure for technical or access-based fixes.

SEC Faces Political Heat as Global Crypto Scrutiny Intensifies
The SEC’s choice to drop or narrow actions tied to Justin Sun has escalated bipartisan scrutiny, with Democrats accusing the agency of preferential treatment while Republicans emphasize a shift toward negotiated rulemaking and SEC–CFTC coordination. At the same time, cross‑border supervisory moves — from VARA orders affecting KuCoin to congressional document requests over alleged Iran‑linked flows through Binance — are translating legal ambiguity into market volatility and compliance concentration risks.