Elon Musk's AI chatbot Grok, developed by X, is under investigation by the Irish Data Protection Commission for potential GDPR violations in how it handles user data. The outcome could result in major financial penalties.

Ireland Opens Formal Investigation into Elon Musk’s AI App Grok


Elon Musk’s AI-driven chatbot Grok, part of his X platform, is under formal investigation by the Irish Data Protection Commission (DPC) amid growing concerns about how the app uses personal data from European users to train its artificial intelligence models.

The probe follows previous legal action taken by the DPC in 2023, after X — formerly known as Twitter — quietly altered data settings to automatically opt users into AI model training. The controversial move sparked accusations of violating the European Union’s stringent General Data Protection Regulation (GDPR), which governs the collection and use of personal data.

Grok AI Faces Fresh Legal Hurdles in the EU


Although X reportedly paused the data processing feature and made Grok available in the EU only after those settings were amended, European regulators appear unconvinced by the platform’s efforts to comply with legal standards.

In a statement released late Friday, the Irish Data Protection Commission confirmed it had launched a full investigation into Grok, stating the inquiry “will examine compliance with a number of key provisions of the GDPR, including the lawfulness and transparency of processing.”

This means investigators will assess whether X obtained appropriate user consent, and if users were adequately informed about how their personal data would be used for AI development.

Grok’s Troubles Come Amid Wider AI Push by Big Tech


X is not the only tech company facing regulatory challenges in Europe. In recent weeks, major platforms including Google, Meta, and OpenAI have encountered delays and scrutiny while rolling out AI features in the EU due to the continent's strict privacy regime.

The case against Grok is particularly notable given the app’s direct competition with industry heavyweights such as ChatGPT and Google’s Gemini. With regulators paying close attention to AI’s role in data collection and privacy, the investigation could set a key precedent for how AI tools are launched and monitored across the bloc.

Potential Consequences: Multi-Million Euro Fines on the Table


If X is found to have violated GDPR regulations in its deployment of Grok, the company could face substantial penalties. Under the law, infringements may result in fines of up to €20 million or 4% of a company’s annual global turnover — whichever is higher.

For Elon Musk’s platform, already under pressure to monetize and compete in the AI race, such a penalty could have far-reaching implications both financially and reputationally.

As the investigation unfolds, regulators across Europe will be watching closely, as the outcome may influence future approaches to AI governance, transparency, and user rights in the digital age.