This chapter, Ethical Challenges in Generative AI, presents many intricate ethical, societal, and regulatory matters that have developed from the massive increase in AI-related graphics, pictures, music, and deepfakes. There is an underlying thrust, however, that focuses on the implications related to equity, or lack thereof, since AI models tend to discriminate against underprivileged stratas in society because of biased or non-homogeneous training datasets. Privacy, consent, and data protection have also received special attention, especially where massive datasets are used to power generative models. The Issues of accountability and responsibility, having been made prominent, tend to pose pertinent queries concerning who is to blame where harmful outputs have been generated by AI. Moreover, there seems to be ongoing discussions concerning whether it is possible to misuse new-age generative models designed to manipulate users, maliciously disseminate information, and dissolve volatile digital content trust.