Musk shared the update in a post on X, stating that the reorganization was implemented “a few days ago” to improve speed of execution, but that it “unfortunately required parting ways with some people.”
The announcement comes shortly after Musk’s SpaceX revealed plans to acquire xAI, with the goal of creating a $1.25 trillion company. The combined entity is expected to go public later this year, a move Musk has said would help fund his ambitious vision of deploying data centers in space.
The reorganization follows a wave of leadership departures at xAI. On Tuesday, co-founders Tony Wu and Jimmy Ba announced their resignations via social media. Their exits add to an ongoing exodus that has reduced the company’s founding team to half of its original 12 co-founders.
As xAI restructures and prepares for integration with SpaceX, the company is navigating a period of significant transition amid growing competition in the AI sector.