xAI co-founder Tony Wu announced his resignation from the startup via a post on the X platform. Several other founding members have also left the company, including Igor Babuschkin, Kyle Kosic, Christian Szegedy, and Greg Yang. Elon Musk co-founded xAI in 2023 alongside 11 other individuals, with the goal of competing against rivals such as OpenAI and Google.

Elon Musk's artificial intelligence firm, xAI, has lost another founding member. Tony Wu announced late Monday that he has resigned from the AI startup, becoming the latest co-founder to depart. Other members, including Igor Babuschkin, Kyle Kosic, and Christian Szegedy, have also left the company; Greg Yang announced last month that he would step down from his role to focus on his battle with Lyme disease. "It's time to open a new chapter in my life," Tony Wu wrote on X. "This is an era of limitless possibilities: a small team armed with AI can move mountains and redefine the boundaries of what is possible." Wu's departure comes as xAI faces consumer boycotts and regulatory investigations in multiple countries. The company's Grok AI chatbot and image generator were reported to allow users to mass-produce and distribute non-consensual deepfake pornography, including inappropriate content generated from photos of real individuals, some of whom are minors. Tesla Motors CEO Elon Musk co-founded xAI in 2023 with 11 others, aiming to compete with rivals like OpenAI and Google. According to the company's website at the time, its mission is "to understand the true nature of the universe." Last week, Musk announced that his rocket company, SpaceX, had acquired xAI, a move that comes as SpaceX is expected to pursue a large-scale IPO. Documents reviewed by CNBC indicate the transaction set a historic record, ranking as one of the largest mergers globally: SpaceX is valued at $1 trillion, while xAI is valued at $250 billion. In March of last year, Musk announced a merger of xAI with X (formerly Twitter) through a multi-billion dollar deal.