Hello. When Elon Musk’s xAI began allowing users to edit photos with text prompts late last year, the move elevated a debate that some AI watchers had grappled with for years: How can we balance privacy, safety and free speech in a world of AI-manipulated content?

The company said it was blocking the use of its chatbot to undress images of real people where it is illegal. Musk has posted that anyone using Grok to make illegal content would “suffer the same consequences” as if they were to upload illegal content. Read more from WSJ. 

Also today: 

• Stoli Group cites hack as factor in liquidating two U.S. units
• Starlink engineers must fight Iran's signal jammers 
• Ingram Micro warns employees of data theft after ransomware attack
• Special edition of Dow Jones Risk Journal Podcast: Trump's Greenland threats
• Mastercard CEO discusses cyber arms race
• Convicted spy gets 16 years for selling U.S. secrets for $12,000
• And more

• Further reading from WSJ Pro: Cyberattack and Financial Troubles Force Stoli’s U.S. Arm to File for Bankruptcy

Elon Musk's Starlink under security pressure with Iran roll out. SpaceX's Starlink satellite network, which was rolled out for free in Iran last week, must battle that government's signal jammers and other attempts to bring it down. (Reuters)

Tech company Ingram Micro disclosed that ransomware attackers in July stole the personal data of more than 42,000 employees and applicants. That includes Social Security numbers and work-related evaluations. 

Kaiser Permanente agreed to pay $46 million to settle a class-action privacy case. Patients in several states accused the healthcare provider of sharing their personal and medical data with Google, Meta and other tech firms without consent. Tracking codes on Kaiser's website and mobile app collected patient information from November 2017 to May 2024, the suit alleged. Kaiser denied the claims. (CBS News)

A Jordanian man pleaded guilty to selling access credentials for at least 50 companies. The man sold them in 2023 to an undercover U.S. agent who was investigating a dark-web forum. Sentencing is set for May 11; the man faces up to 10 years in prison. (SecurityWeek)

Spy sentenced: A former U.S. Navy sailor was sentenced to more than 16 years in federal prison for selling national defense information to China for $12,000. The material included operating manuals and other sensitive information, the Justice Department said. He was convicted in August. 

The WSJ Pro Cybersecurity team is Deputy Bureau Chief Kim S. Nash and reporters Angus Loten and James Rundle. Follow us on X @WSJCyber. Reach the team by replying to any newsletter you receive or by emailing Kim at kim.nash@wsj.com.