Musk reorganizes xAI after SpaceX merger and ahead of blockbuster IPO

Billionaire Elon Musk has overhauled the management of his artificial intelligence startup xAI ahead of a planned initial public offering that could rank among the largest ever, after merging the company with his rocket firm SpaceX. The reorganization announced on Wednesday follows the recent departures of several co-founders at the three-year-old AI company, leaving only half of the startup's original 12 co-founders and raising questions about stability as Musk pushes to compete with OpenAI and Google on all fronts. We're organizing because we've reached a certain scale. We're organizing the company to be more effective at this scale. Now, naturally, when this happens, there's some people who are better suited for the early stages of a company and less suited for the later stages, Musk said at an xAI all-hands meeting, according to video footage posted by the company on X.