Elon Musk's xAI faces exodus; monthly updates mandated for employees

Business Sep 19, 2025

Elon Musk's AI startup xAI is going through a rough patch—top leaders like CFO Mike Liberatore and co-founder Igor Babuschkin have left, raising concerns about how the company is run and its financial oversight.
To keep things on track, Musk now wants employees to send monthly updates on what they've accomplished and what's next.

xAI has let go of over 500 data annotation workers

xAI has let go of over 500 data annotation workers, even though earlier promises suggested jobs were safe.
Now, the company's shifting gears to hire more specialized AI tutors in STEM and finance.
Meanwhile, after The Wall Street Journal questioned xAI's stability, Musk's legal team called those claims "false and defamatory" and pointed out that PwC audits their finances.