On Wednesday, Elon Musk said that his artificial intelligence company xAI has undergone a restructuring following a wave of co-founder departures.
xAI Restructuring Follows Leadership Departures
Musk took to X and said that the reorganization was designed "to improve speed of execution" and confirmed that the changes "required parting ways with some people."
He did not specify how many employees were affected or whether the exits were voluntary.
"We are hiring aggressively," Musk added, signaling that the company plans to rebuild even as it reshapes its structure.
xAI was reorganized a few days ago to improve speed of execution. As a company grows, especially as quickly as xAI, the structure must evolve just like any living organism.
This unfortunately required parting ways with some people. We wish them well in future endeavors.
The announcement comes days after xAI co-founders Jimmy Ba and Tony Wudisclosed their departures. Their exits follow those of other founding members, including Igor Babuschkin, Kyle Kosic, Christian Szegedy and Greg Yang, who had left earlier.
The shake-up follows an all-stock transaction in which SpaceX acquired xAI. The deal reportedly values SpaceX at $1 trillion and xAI at $250 billion after the merger.
xAI owns social media platform X and develops Grok, the company's AI chatbot and image generator. Last year, Musk used xAI in another all-stock deal to acquire X.
Authorities are examining whether Grok enabled the creation and distribution of non-consensual explicit deepfake images, including content allegedly involving minors.
Photo Courtesy: gguy on Shutterstock.com
Disclaimer: This content was partially produced with the help of AI tools and was reviewed and published by Benzinga editors.
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