Elon Musk’s AI startup xAI laid off 500 workforce members on Friday evening, in accordance with inside messages considered by Enterprise Insider.
These emails reportedly announce a direct “strategic pivot,” with the corporate deciding to “speed up the enlargement and prioritization of our specialist AI tutors, whereas scaling again our deal with basic AI tutor roles.”
“As a part of this shift in focus, we not want most generalist AI tutor positions and your employment with xAI will conclude,” xAI reportedly wrote.
In line with Enterprise Insider, these cuts symbolize about one-third of xAI’s 1,500-person information annotation workforce — the workforce that works to label and put together information used to coach xAI’s chatbot Grok.
When contacted for affirmation, xAI pointed to an announcement on X (the Musk-owned social community that it acquired earlier this 12 months) declaring that the corporate “will instantly surge our Specialist AI tutor workforce by 10x.”
“We’re hiring throughout domains like STEM, finance, medication, security, and lots of extra,” the corporate stated.
