Regulators in Europe are weighing taking action against Elon Musk’s social media platform X after its artificial intelligence tool Grok was used to create sexually explicit images of a minor.

It is the latest flashpoint in a growing battle between the European Union, United Kingdom and X, formerly known as Twitter, with the United States government accusing its transatlantic partners of imposing non-tariff barriers on trade by regulating the platform.

Grok provoked widespread outrage this week after responding to a user’s prompt to remove clothing from an image of a 14-year-old actress, amid a surge of similar activity in which the tool was used to “undress” images of women and pose them in bikinis.

Musk has not responded directly to the criticisms but appeared to make light of the concerns by reposting a Grok-generated image of a toaster in a bikini. X did not respond to a request for comment about the incident. 

The Paris Prosecutor’s Office confirmed to Recorded Future News on Friday that it had been contacted by two members of France’s parliament reporting “the dissemination of sexually explicit ‘deepfakes’, notably featuring minors, generated by Grok, X's artificial intelligence.”

The incident has been added to the prosecutor’s office’s ongoing investigation into X, which centers on the platform’s alleged failures to tackle the spread of scams and foreign interference.

A spokesperson for the British government said it was planning to ban so-called nudification tools in all forms, including AI models.

“Intimate image abuse is a devastating crime which disproportionately affects women and girls. Under this new criminal offence, any individuals or companies who design or supply these nudification tools will face a prison sentence and substantial fines,” they said.

Intimate image abuse is currently a priority offence under the U.K.’s Online Safety Act, meaning the largest tech platforms have legal responsibilities to prevent it from appearing in the first place, as well as removing it if it is published.

In a statement, a spokesperson for Britain’s communications regulator, Ofcom, told Recorded Future News: “It's illegal to create or share non-consensual intimate images or child sexual abuse material, including sexual deepfakes created with AI, and individuals who commit criminal offences online can face prosecution by law enforcement.”

The incident with Grok follows the European Commission last month issuing a €120 million ($139 million) fine against the social media company for breaking EU laws.

Ahead of the fine, X’s Global Government Affairs team described the European Commission’s enforcement actions as “an unprecedented act of political censorship and an attack on free speech.”

Before the 2024 presidential election, Donald Trump’s running mate, JD Vance, suggested the EU’s treatment of Musk would influence U.S. policy towards NATO.

Just before the fine was issued, Vance took to X to claim Europe planned to fine the company for “not engaging in censorship.”

“The EU should be supporting free speech not attacking American companies over garbage,” he wrote.

The U.S. Federal Trade Commission warned domestic technology companies in August that complying with EU and U.K. regulations could amount to “censoring Americans to comply with a foreign power’s laws” — which may be considered a violation of the law  that prohibits unfair or deceptive practices in commerce.

A spokesperson for the European Commission did not immediately respond to a request for comment about the Grok incident.