With co-founders leaving and an IPO looming, Elon Musk turns talk to the moon

by | Feb 11, 2026 | Technology

On Tuesday night, Elon Musk gathered the employees of xAI for an all-hands meeting. Evidently, he wanted to talk about the future of his AI company, and specifically, how it relates to the moon.

According to The New York Times, which reports that it heard the meeting, Musk told employees that xAI needs a lunar manufacturing facility, a factory on the moon that will build AI satellites and fling them into space via a giant catapult. “You have to go to the moon,” he said, per the Times. The move, he explained, will help xAI harness more computing power than any rival. “It’s difficult to imagine what an intelligence of that scale would think about,” he added, “but it’s going to be incredibly exciting to see it happen.”

What Musk didn’t appear to address clearly was how any of this would be built, or how he plans to reorganize the newly merged xAI-SpaceX entity that is simultaneously careening toward a potentially historic IPO. He did acknowledge, proudly, that the company is in flux. “If you’re moving faster than anyone else in any given technology arena, you will be the leader,” he told employees, per the Times, “and xAI is moving faster than any other company — no one’s even close.” He added that “when this happens, there’s some people who are better suited for the early stages of a company and less suited for the later stages.”

It isn’t clear what prompted the all-hands, but the timing, whatever its cause, is at least curious. On Monday night, xAI co-founder Tony Wu announced he was leaving. Less than a day later, another xAI co-founder, Jimmy Ba, who reported directly to Musk, said he was bouncing, too. That brings the total to six of xAI’s 12 founding members who have now left the young company. The splits have all been described as copacetic, …

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