Two xAI co-founders resign amid internal tensions, as SpaceX prepares $1.25T acquisition and 2026 IPO.

Two co-founders of Elon Musk’s AI company xAI, Tony Wu and Jimmy Ba, have resigned, reducing the original 12 co-founders to six. Their departures follow reports of internal tensions over technical performance pressures as Musk pushes to rival firms like OpenAI and Anthropic. Neither cited specific reasons, but both expressed gratitude to Musk. The exits come days after SpaceX announced plans to acquire xAI in a $1.25 trillion deal, with plans to go public in 2026 to fund ambitious projects including space-based data centers.