Elon Musk Holds xAI All-Hands Meeting Amid Leadership Exodus and Expansion Plans
Elon Musk held an all-hands meeting for xAI on Tuesday night, shortly after the company lost its second co-founder in under 48 hours. The gathering came amid a wave of departures and internal restructuring at the AI startup, which Musk launched in 2023 as a rival to OpenAI. Musk did not directly address the exits of co-founders Tony Wu and Jimmy Ba, but he acknowledged their contributions and expressed gratitude for their past work. He emphasized that xAI would continue to move forward regardless of the departures, suggesting that those who left were not essential to the company’s long-term mission. The meeting also touched on a broader organizational restructuring, though details remain unclear. Both Wu and Ba reportedly stepped down after their roles were redefined, according to Business Insider. The timing of their departures has raised questions about leadership stability and internal dynamics at the company. Musk also discussed ambitious plans for deploying data centers in space, a vision he has promoted for years. He reiterated that SpaceX’s recent acquisition of xAI would accelerate the development of these cosmic infrastructure projects. Musk previously suggested that Tesla’s Optimus humanoid robots could one day operate these facilities autonomously. The all-hands session followed the cancellation of a previously scheduled meeting last week, which had been announced after the SpaceX-xAI acquisition was revealed. According to people familiar with the matter, the event was called off at the last minute, likely due to internal upheaval. In a Q&A circulated to employees after the acquisition, xAI stated that the two companies would maintain separate operations and branding for now. However, the combined entity is still preparing for a potential initial public offering in 2026, though the timing, likelihood, and valuation remain uncertain. SpaceX, which Musk founded in 2002, is also reportedly preparing for its own IPO, which could value the company at $1.5 trillion. The integration of xAI into SpaceX’s ecosystem could play a key role in advancing both companies’ long-term goals in AI and space technology. Over the past few days, multiple employees have shared on social media that they have left the company, adding to concerns about morale and retention. A spokesperson for xAI did not respond to a request for comment.
