xAI Co-Founder Departure Ahead of SpaceX IPO Raises Concerns
Written by Emily J. Thompson, Senior Investment Analyst
Updated: 1 hour ago
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Source: seekingalpha
- Executive Departure: Manuel “Makro” Kroiss, the 10th co-founder of xAI, has announced his departure, having led pretraining efforts and coding model improvements, indicating internal turmoil that may impact the upcoming IPO.
- IPO Fundraising Expectations: SpaceX is expected to raise up to $75 billion in its upcoming IPO, a significant amount that could greatly influence its future, although executive departures may undermine investor confidence.
- Company Rebuilding Plans: Elon Musk acknowledged issues in xAI's initial construction and stated that the company is being rebuilt from the ground up, a statement that may affect external perceptions of its future trajectory.
- Funding and Valuation: xAI closed a $20 billion Series E funding round earlier this year, and while its valuation was not disclosed, the next round could value it at $230 billion, reflecting market recognition of its potential.
About the author
Emily J. Thompson
Emily J. Thompson, a Chartered Financial Analyst (CFA) with 12 years in investment research, graduated with honors from the Wharton School. Specializing in industrial and technology stocks, she provides in-depth analysis for Intellectia’s earnings and market brief reports.
