Minnesota has seen its world-first law against AI "nudification" put on hold. The Eighth Circuit Court of Appeals issued an order suspending the enforcement of the regulation, which was set to take effect on August 1, while xAI continues to challenge it in court.
The law, signed by Governor Tim Walz, prohibits the use of AI to transform photos of real people into sexualized images without consent. It provides for civil penalties of up to $500,000 for companies that generate non-consensual content. xAI sued the state three days before the effective date, arguing that the regulation violates the First Amendment on freedom of speech.
State officials, led by Attorney General Keith Ellison, stated they were "disappointed" by the court's decision and promised to vigorously defend the law during the appeal. The legal battle is part of a broader debate on the regulation of generative AI in the adult entertainment industry.

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