Elon Musk's artificial intelligence startup, xAI, has reportedly lost its last two remaining co-founders, according to a report by Business Insider. The departures of Manuel Kroiss and Ross Nordeen mean that none of the venture's 11 original co-founders are now with the company.

The news follows Musk's recent statement that xAI "was not built right [the] first time around" and is now "being rebuilt from the foundations up." The company was recently acquired by Musk's SpaceX, bringing it under the same corporate umbrella as SpaceX and the social media platform X, formerly known as Twitter.

Key Figures Exit Amid Restructuring

Business Insider reported that Kroiss informed people of his departure on Wednesday, 22 January, while Nordeen left the company on Friday, 24 January. Both executives reported directly to Elon Musk.

Manuel Kroiss led the company's pretraining team, a core function in developing AI models. Ross Nordeen was described as Musk's "right-hand operator" and had previously worked at Tesla. He was also reportedly involved in planning major layoffs at Twitter following Musk's acquisition of the platform in 2022.

Corporate Consolidation Under SpaceX

The restructuring coincides with significant corporate changes. xAI's acquisition by SpaceX is part of a broader consolidation of Musk's technology interests. This move comes as SpaceX is reportedly planning an initial public offering (IPO), which would bring the combined entities of SpaceX, xAI, and X to the public markets.

TechCrunch has contacted xAI for official comment on the reported departures. The company has not yet issued a public statement regarding the status of Kroiss and Nordeen.