Elon Musk, chief govt officer of Tesla Inc., throughout the World Financial Discussion board (WEF) in Davos, Switzerland, on Thursday, Jan. 22, 2026. The annual Davos gathering of political leaders, prime executives and celebrities runs from Jan. 19-23. Photographer: Krisztian Bocsi/Bloomberg by way of Getty Photos
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SpaceX CEO Elon Musk on Wednesday introduced the the corporate’s xAI synthetic intelligence enterprise applied a reorganization that “required parting methods with some individuals.”
The overhaul was finished “to enhance pace of execution,” Musk stated in a put up on X. He didn’t say which staff could have been minimize on account of the restructuring or which staff could have resigned of their very own volition.
“We’re hiring aggressively,” Musk added.
Earlier this week, xAI co-founders Jimmy Ba and Tony Wu introduced their exits after a number of different founding members, together with Igor Babuschkin, Kyle Kosic, Christian Szegedy and Greg Yang, beforehand departed.
Final week, Musk introduced a record-setting, all-stock transaction by which SpaceX, the aerospace and protection juggernaut, acquired xAI, which owns and operates social community X and is the developer of Grok, the embattled AI chatbot and picture generator.
The deal valued SpaceX at $1 trillion and xAI at $250 billion put up merger, in accordance with paperwork considered by CNBC. Musk beforehand used xAI to amass X, previously Twitter, in one other all-stock transaction introduced in March 2025.
The co-founder departures and the re-org this week come as SpaceX prepares to go public someday this yr and whereas xAI faces regulatory probes in a number of jurisdictions throughout Europe, Asia and the U.S.
The probes are trying into whether or not xAI violated regional rules after Grok enabled mass-creation and syndication of non-consensual, express pictures, colloquially generally known as deepfake porn. The photographs had been primarily based on images of actual individuals, together with kids.
Musk launched xAI in 2023 alongside 11 different individuals in an effort to compete towards OpenAI and Google. The corporate’s said objective was to “perceive the true nature of the universe,” in accordance with its web site on the time.
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