No, I think this lawsuit will just show absolute impotence of the system as there is nothing what can be done.
But it can reduce ability to make money from that stuff.

To fix this issue total global internet surveillance has to be enacted where every savage in african jungle will be required to register himself before getting access to the internet on his smartphone.

This stuff has to become normal and everyone need to learn to expect that there will be nasty pictures of them doing disgusting stuff. which you just look at laugh at it possibly make a funny comment and continue your life.

Oh that explains why I've seen so many new Taylor Swift deepfake pornvids pop up so recently.

These kinda news always bring a nice new flavor to the deepfakes, knowing they feel violated by it.
I'm gonna go bust a nut to a VR deepfake of Taylor right now.

The issue here is what Microsoft provided but since they own everything and are filthy rich they might be able to scapegoat it, they block NSFW, the media outrage is blown out of proportion because the pictures created were at most groping a body-painted model… They twisted it into rape.
It's mob hysteria combined with Twitter which can make anything insanely viral, most retweets or replies are absurdly empty from people that don't even care or know better other than LOL WTF