Elon Musk Announces xAI Reorganization After Co-Founder Exits and SpaceX Merger

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Elon Musk has confirmed a major internal restructuring at his artificial intelligence company xAI, just days after multiple co-founders announced their departures and following the company’s merger with SpaceX.

In a post shared on X on Wednesday, Musk said the changes were necessary to streamline operations and accelerate progress. The reorganization “required parting ways with some people,” Musk wrote, adding that the goal was “to improve speed of execution.”

Despite the workforce changes, Musk emphasized that the company is continuing to expand, noting, “We are hiring aggressively.”

Musk did not disclose how many employees were affected by the restructuring or clarify which departures were voluntary versus part of the reorganization. However, the announcement comes immediately after two of xAI’s co-founders, Jimmy Ba and Tony Wu, revealed earlier this week that they were leaving the company. Their exits were just two of many that have been announced on X in the past few days.

The timing of the restructuring is closely tied to xAI’s recent merger with SpaceX, which was completed through a massive all-stock transaction. According to reports, the deal valued SpaceX at approximately $1 trillion and xAI at $250 billion, making the combined entity one of the most valuable privately held technology organizations in the world.

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