Musk's xAI Rebuild: Apologies & New Hires

0:00On this March 15th in Durham, here's what is making headlines. Elon Musk rarely says sorry, but he did this week on X about his AI company XAI. He admitted it was not built correctly the first time and is now getting a full rebuild from the ground up. Musk also apologized to job candidates they wrongly rejected, saying he and the talent head are reviewing old interviews to bring them back in. This comes right after big moves like SpaceX buying XAI six weeks ago in a deal valuing the combo at $1,250,000,000. Tesla also put in $2,000,000 in XAI's latest funding round. The timing has investors scratching their heads, especially with Tesla shareholders already suing Musk over diverting AI resources. Talent Troubles run deep at XAI, launched in 2023. Of the original 12 co-founders, only two are left. Key experts like Jimmy Ba and others jumped ship early this year amid reports of tensions over performance and projects. Grok, XAI's Chadbot, is lagging in coding tasks compared to rivals

1:06like those from Anthropic in OpenAI. To catch up, they hired two top engineers from a coding startup who report straight to Musk. Grok has also faced backlash for weak safeguards on image generation, hurting enterprise deals. Musk has pulled off rebuilds before it, Tesla and SpaceX during tough times. Now he's sending execs from those companies to audit XAI teams and fix under performers. Regulators and shareholders wonder what they knew before the big investments, with stakes higher than ever in the fast AI race. Quick thanks to today's sponsor, see the description for more. Headphones in a pillow, simple idea, surprisingly addictive, S-O-L-L-I-SOLY-PILLO dot com.