A federal judge has denied xAI’s effort to stop Minnesota from enforcing its ban on apps that let users “nudify” images. The decision means the state law can move forward for now, even as the broader legal fight continues.

According to the reported ruling, U.S. District Judge Donovan Franks did not side with xAI’s request to block the measure before the case is fully resolved. The judge’s reasoning reportedly focused in part on timing, signaling that the court was not prepared to pause the law at this stage.

The dispute centers on Minnesota’s move against apps used to alter photos to create fake nude images. The issue has become part of a wider debate over how states should regulate AI-powered image tools, especially when they can be used to produce harmful or non-consensual content.

While xAI’s lawsuit is still pending, the immediate outcome is a setback for the company’s bid to halt the ban. For now, Minnesota is allowed to keep the restriction in place as the case proceeds through court.