Elon Musk’s xAI has laid off at the least 500 employees from its knowledge annotation crew, which helps develop the corporate’s Grok chatbot, Enterprise Insider reported on Friday.
The corporate notified workers by e mail on Friday evening that it was planning to downsize its crew of generalist AI tutors, the report mentioned, citing a number of messages seen by Enterprise Insider.
Responding to a request for remark, xAI referred to a put up on X during which the corporate mentioned it was hiring for roles throughout domains and deliberate to extend its specialist AI tutor crew by “10X.”
The information annotation crew, xAI’s largest, teaches Grok to know the world by contextualizing and categorizing uncooked knowledge, Enterprise Insider mentioned.
Employees have been instructed that they might be paid by both the tip of their contract or November 30 however their entry to firm techniques can be terminated on the day of the layoff discover, the report mentioned.
xAI finance chief Mike Liberatore left the corporate across the finish of July after just some months on the job, the Wall Avenue Journal reported this month, citing folks acquainted with the matter.
Musk launched xAI in 2023 to problem Massive Tech’s AI push, accusing trade leaders of extreme censorship and lax security requirements.

