
Ilon Musk announces complete relaunch of xAI amid crisis within the company
The reason was staffing problems and the resignation of part of the startup’s management, notes The Decoder.
According to the publication, six of the original eleven co-founders have already left the company, forcing the management to start a deep restructuring of the business.
Restructuring and the race for talent
Musk admitted that the original architecture of the company was a failure. “The company was built wrong from the beginning,” The Decoder quoted the billionaire as saying.
The entrepreneur now intends to overhaul the management structure, accelerate technology development and expand the research team.
As part of the new strategy, xAI management also intends to re-contact candidates who were previously not hired to strengthen the company’s talent pool.
xAI was founded in 2023 as a competitor to leading artificial intelligence labs including OpenAI and Google. The company’s main product is Grok, a chatbot trained on the Colossus supercomputer.
Analysts believe that xAI’s restructuring could intensify global competition between major artificial intelligence developers.









