Resignations Shake xAI as Co-Founders Exit

Tony Wu and Jimmy Ba, co-founders of xAI, have stepped down from the AI firm created with Elon Musk. Their resignations highlight ongoing challenges within the company, as xAI faces pressure to enhance its AI models and Musk aims to compete with OpenAI and Anthropic.


Devdiscourse News Desk | Updated: 11-02-2026 07:52 IST | Created: 11-02-2026 07:52 IST
Resignations Shake xAI as Co-Founders Exit

In a surprising development, Tony Wu and Jimmy Ba, co-founders of artificial intelligence startup xAI, have announced their resignations from the company they established alongside Elon Musk less than three years ago. Their departure marks a significant shift at xAI, leaving only half of the original 12 co-founders.

Reports from The Financial Times suggest that Ba's resignation resulted from internal discord within the technical team, who faced increasing pressure to boost AI model performance to maintain competitiveness with industry heavyweights like OpenAI and Anthropic. Ba has not publicly commented on these reports.

In their social media announcements, Wu and Ba did not disclose specific reasons for their departure or future endeavors but expressed gratitude towards Musk. This shake-up follows Musk's recent declaration that SpaceX plans to acquire xAI, with intentions to transform it into a $1.25 trillion entity and pursue a public offering by year-end to support ambitious projects such as launching data centers into space.

(With inputs from agencies.)

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