Musk's X

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Musk stays in the news every week sometimes with good news and sometimes with bad. Even we don’t know how we can label this one.

Today his company, X (formerly Twitter) updated its Privacy Policy to allow third-party “collaborators” to use user data for training AI models unless users opt out. This change follows an investigation by the EU’s lead privacy regulator into data practices related to xAI’s Grok AI chatbot, which utilized X user data without clear disclosure.

The revised policy indicates X’s intention to join platforms like Reddit in exploring data licensing to AI companies as a potential revenue stream. In the new Section 3, titled “Sharing Information,” X explains how user data may be shared, stating:

“Depending on your settings, or if you decide to share your data, we may share or disclose your information with third parties. If you do not opt out, recipients of the information may use it for their own independent purposes, including training their AI models.”

Although users are directed to their settings page, specifics on how to disable data sharing remain unclear. Currently, users can manage data-sharing options with xAI’s Grok and other business partners, but the latter is focused on improving X’s products rather than third-party AI firms.

Notably, the updated policy won’t be effective until November 15, leaving room for further clarifications. The policy also removes the previous commitment to retain user data only for account duration, now allowing X to retain information based on various needs, such as legal compliance.

Additionally, X has introduced a Liquidated Damages clause in its Terms of Service, imposing significant penalties on organizations that scrape its content. Accessing more than 1,000,000 posts in a single day will incur a fee of $15,000 for each million posts.

As X seeks new revenue avenues amid advertiser withdrawals, users will be watching how these changes impact their data privacy. X has not commented on the updates.

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