13 Sep 2025 | 5 Mins Read

Elon Musk's xAI lays off 500 from data annotation team

Flipitmoney

Elon Musk-led company xAI has laid off at least 500 employees from its data annotation team, effective immediately. The team was responsible for developing the Grok chatbot, but the company no longer needs generalist AI tutors. Employees will be paid until November 30, 2025. xAI is expanding its Specialist AI tutors team by 10 times and hiring across various domains.