The issue arose earlier this year after users exploited the AI tool to create sexualised images of individuals without consent, prompting backlash from regulators and lawmakers.

Apple reportedly contacted the developers behind Grok and its parent platform X, requiring them to improve content moderation. Initial updates submitted for review were rejected for failing to meet App Store guidelines.

Subsequent revisions eventually addressed the concerns, allowing the app to remain available. Apple indicated that failure to comply could have resulted in its removal from the platform.

The controversy also drew scrutiny from U.S. lawmakers, who urged both Apple and Google to take action against apps facilitating harmful content.

The incident underscores increasing regulatory pressure on AI platforms to implement stricter safeguards, particularly as generative AI tools become more widely accessible and capable of misuse.

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The app, which turns text prompts into realistic videos, also allows users to upload their own images, enabling their likeness and voice to appear in fabricated scenes. It can integrate fictional characters, company logos, and even the images of deceased celebrities.

Experts warn that tools like Sora — along with Google’s Veo 3 — could become powerful engines for disinformation. While concerns about AI-generated fabrications have grown in recent years, Sora’s realism and ease of use mark a new escalation.

“Increasingly realistic videos are more likely to lead to real-world consequences by exacerbating conflicts, defrauding consumers, swinging elections or framing people for crimes they did not commit,” said Hany Farid, a professor of computer science at the University of California, Berkeley. “I worry about it for our democracy. I worry for our economy. I worry about it for our institutions.”

OpenAI said it released the app after “extensive safety testing,” with guardrails in place to prevent misuse. “Our usage policies prohibit misleading others through impersonation, scams, or fraud, and we take action when we detect misuse,” the company said.

Tests by The New York Times found the app declined prompts for graphic violence or images of famous people without permission, and some political content. However, Sora still generated videos of convenience store robberies, home intrusions, bomb explosions, and political rallies with AI-generated voices resembling public figures.

Sora is currently invite-only and does not require users to verify their identity. The app can create content featuring children and long-deceased public figures such as Martin Luther King Jr. and Michael Jackson. Though it applies a moving watermark to indicate AI-generated content, experts say such marks can be easily removed.

Lucas Hansen, founder of the nonprofit CivAI, warned that the technology threatens to erode trust in video evidence. “It was somewhat hard to fake, and now that final bastion is dying,” he said. “There is almost no digital content that can be used to prove that anything in particular happened.”

Experts call this the “liar’s dividend”: the idea that hyperrealistic AI videos will allow people to dismiss genuine content as fake, deepening polarization and undermining public trust.

Farid, who co-founded GetReal Security, said even he now struggles to distinguish between real and fabricated videos at first glance. “A year ago, I would have known by looking,” he said. “I can’t do that anymore.”

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Police froze assets across five states and uncovered more than 20 million reais ($3.9 million) in suspicious funds, according to Brazil’s anti-money laundering agency COAF. The operation marks one of the country’s first major crackdowns on the use of artificial intelligence to manipulate celebrity images for online scams.

The investigation began in August 2024 after a victim reported being deceived by an Instagram ad featuring an altered video of Bündchen promoting a skincare product. Another ad used her likeness to advertise a fake suitcase giveaway, where victims paid shipping fees for items that never arrived.

“We identified that the criminal group carried out a series of other scams, involving deepfakes of other celebrities and false betting platforms,” said Eibert Moreira Neto, head of Rio Grande do Sul’s cybercrime unit.

Investigators said the suspects targeted large numbers of users with low-value scams, typically under 100 reais ($19), exploiting the fact that most victims would not report the crimes. “That created a perverse situation in which the criminals enjoyed a kind of ‘statistical immunity,’” said Isadora Galian from the cybercrime unit. “They knew most people would not report them, so they operated at scale without fear.”

The Supreme Court of Brazil ruled in June that social media platforms can be held liable for criminal ads posted by users if they fail to act swiftly to remove them, even without a court order.

Instagram owner Meta said it removes deceptive ads when detected, adding that its policies forbid “ads that deceptively use public figures to try to scam people.” The company said it invests in detection systems, trained review teams, and reporting tools to curb such abuse.

A spokesperson for Bündchen’s team urged consumers to be cautious of celebrity-endorsed ads offering unusual discounts, verify offers through official channels, and report suspected scams to authorities.

The post Deepfake Fraudsters Rake In $4.6 Million Using Gisele Bündchen’s Likeness appeared first on Tech Digest News.

According to court filings reviewed, the actors are demanding that YouTube remove infringing videos and implement safeguards to prevent such content from being used to train other AI platforms. They are also seeking $450,000 in damages and a permanent injunction against further misuse of their personas.

The lawsuits highlight growing concerns in India over deepfake content and the lack of explicit laws on personality rights, unlike in several U.S. states. While some Indian celebrities have previously sought limited protections, the Bachchans’ case is the most high-profile yet and could set a precedent for digital rights in the country.

The filings allege that hundreds of videos on YouTube portray the actors in “egregious” or “sexually explicit” ways, causing harm to their dignity and financial interests. In early September, a Delhi court ordered the takedown of 518 links and posts flagged in the complaint.

India is YouTube’s largest market, with about 600 million users, and the platform is increasingly viewed as the country’s “new TV,” especially for Bollywood-related content. But the case raises difficult questions about platform liability, AI misuse, and the balance between free expression and celebrity protection.

In recent years, Indian courts have started siding with actors concerned about AI-generated content. In 2023, a Delhi court barred the unauthorized use of actor Anil Kapoor’s image, voice, and catchphrases. Observers say the Bachchans’ case could further accelerate legal debates over regulating deepfakes and AI training practices.

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