Elon Musk's xAI All-Hands: Moon Cities, Restructuring, and New AI Products Take Center Stage
Elon Musk held the first all-hands meeting for xAI since its merger with SpaceX, sharing updates on company restructuring, ambitious long-term goals, and upcoming product launches. The event, recorded on Tuesday night and later posted on X, offered a rare inside look at the evolving direction of Musk’s AI venture. One of the most notable developments was the company’s organizational shift. The founding team has shrunk from 12 to just six members, following the departures of two key co-founders earlier in the week. Tony Wu announced his exit on X, saying it was time for a new chapter. Less than a day later, Jimmy Ba confirmed he was leaving, expressing gratitude to Musk for leading them on what he called an “incredible journey.” Musk addressed the changes directly, stating that as the company has scaled, it needed a new structure to operate more effectively. “Because we've reached a certain scale, we're organizing the company to be more effective at this scale,” he said. He added that some team members are better suited for early-stage startups than for the more complex, large-scale operations now required. Musk also unveiled a bold vision for the future: building a self-sustaining city on the moon. He discussed the idea of deploying a mass driver—essentially a catapult—on the lunar surface to launch AI-powered satellites into space. “Ultimately, we see a path to maybe launching as much as a terawatt per year of compute from Earth, but what if you want to go beyond a mere terawatt per year?” Musk asked. “In order to do that, you have to go to the moon.” He painted a grand picture of a moon-based civilization, expanding to Mars and eventually exploring other star systems. “Maybe we'll meet aliens,” he added with characteristic flair. This vision aligns with broader industry interest in space-based infrastructure, including Google CEO Sundar Pichai’s own exploration of space-based data centers, driven by Earth’s growing constraints on water and energy. On the product front, Musk revealed upcoming launches. A standalone app for XChat will be released soon, allowing users to access messaging features without needing the full X platform. The app will support multi-user video calls and will be available on desktop. Additionally, Musk introduced X Money, a new transaction app that has already been tested internally. He said it will enter a limited external beta within the next month or two before rolling out globally. “This is really intended to be the place where all the money is, the central source of all monetary transactions,” Musk said. “So it's really going to be a game changer.” The move signals xAI’s intent to expand beyond AI into financial infrastructure, tying its ecosystem more tightly to user behavior and digital commerce.
