Nearly half of xAI's founding team has now left the company | TechCrunch
Briefly

Nearly half of xAI's founding team has now left the company | TechCrunch
"On its own, it's a pretty standard tech departure announcement - but it's part of a troubling pattern for the lab. Five members of the company's 12-person founding team have now left the company, with four of the departures coming in just the last year. Infrastructure lead Kyle Kosic left for OpenAI in mid-2024, followed by Google veteran Christian Szegedy in February 2025."
"By all accounts, the splits have all been amicable, and there are lots of reasons why, nearly three years in, some founders might decide to move on. Elon Musk is a notoriously demanding boss, and with the SpaceX's acquisition of xAI complete and an IPO pending in the coming months, everyone involved has a pretty big windfall coming. It's a great time to be fundraising for an AI startup, so it's only natural for high-level researchers to want to strike out on their own."
"There are also less amicable reasons that might factor in. The company's flagship product, the Grok chatbot, has struggled with bizarre behavior and apparent internal tampering - the kind of thing that might easily create friction on the technical team. Then there were the recent changes to xAI's image-generation tools that flooded the platform with deepfake pornography, sparking slow-moving but real legal consequences."
Yuhuai (Tony) Wu left xAI, becoming the fifth founding-team departure among 12 members after exits by Kyle Kosic, Christian Szegedy, Igor Babushkin, and Greg Yang. Several departures are described as amicable, while incentives from SpaceX’s acquisition and an impending IPO create windfalls and opportunities for researchers to found new ventures. Organizational pressures include Elon Musk’s demanding management style and ambitious plans such as orbital data centers. Technical and legal challenges include Grok’s bizarre behavior and apparent internal tampering, plus image-generation changes that produced deepfake pornography, adding scrutiny and operational strain ahead of the IPO.
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