Hajra Naz
Elon Musk’s artificial intelligence startup, xAI, is facing another round of leadership shake-ups. According to a report from The Wall Street Journal, Mike Liberatore, the company’s chief financial officer, has left after just a few months on the job.
Liberatore, a former Airbnb executive, joined xAI in April and departed by late July. During his short tenure, he played a critical role in raising $10 billion in funding — $5 billion in debt and another $5 billion in equity.
Roughly half of that equity came directly from SpaceX, Musk’s space exploration company. He also helped oversee early development of a data center expansion in Memphis, which is central to xAI’s efforts to scale its computing power.
A String of High-Profile Departures
Liberatore’s exit is not an isolated case. In recent months, several senior leaders have also stepped down from xAI:
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Robert Keele, general counsel, resigned in August after just over a year in the role.
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Raghu Rao, a senior attorney, left around the same time.
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Igor Babuschkin, an xAI co-founder, announced in July that he was leaving to launch his own venture capital firm focused on AI safety research.
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Linda Yaccarino, former CEO of X (Twitter), stepped down in July following controversy around Grok, XAI’s chatbot integrated into the X platform.
Challenges for xAI
Founded in 2023, xAI has ambitious goals: to build AI systems that are truthful, safe, and aligned with human values. However, the rapid turnover in its leadership raises questions about the company’s stability and long-term vision.
The company is also juggling high-profile projects, including:
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Expansion of Grok, its chatbot on X.
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Building new supercomputing infrastructure to compete with industry leaders like OpenAI, Anthropic, and Google DeepMind.
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Exploring partnerships to expand its AI safety research and commercial applications.
While funding has not been an issue — thanks in large part to Musk’s influence and SpaceX’s backing — the talent churn could hinder execution at a critical time in the AI race.
FAQs
1. Who is Mike Liberatore, and why did he leave xAI?
Mike Liberatore, a former Airbnb executive, served as CFO of xAI. He left after a few months, though no official reason has been disclosed.
2. What was his role at xAI?
He helped secure $10 billion in funding (debt and equity) and worked on the company’s data center expansion in Memphis.
3. Who else has left xAI recently?
Key departures include Robert Keele (general counsel), Raghu Rao (senior lawyer), Igor Babuschkin (co-founder), and Linda Yaccarino (former CEO of X).
4. How will these exits affect xAI?
Frequent leadership changes may create instability, especially as xAI competes with established AI companies. However, Musk’s backing ensures financial support continues.
5. What are xAI’s current priorities?
The company is focused on scaling Grok, building powerful AI infrastructure, and advancing AI safety research to differentiate itself in the crowded AI market.
