Co-founder of Elon Musk's xAI leaves the company
Igor Babuschkin exits xAI to launch Babuschkin Ventures focused on AI safety and startups.

Igor Babuschkin's recent announcement on X detailed his decision to leave xAI, a company he co-founded with Elon Musk in 2023, to start Babuschkin Ventures. Babuschkin highlighted the unique mission he and Musk adopted for xAI, aiming to redefine AI development. His move towards a venture capital firm was inspired by coversations, particularly one with Max Tegmark, focusing on AI safety and fostering technologies that bring positive impacts to humanity.
Babuschkin Ventures is set to concentrate on AI safety research and invest in startups that align with its vision of advancing humanity and exploring unknowns. This step reflects a strategic pivot from xAI's core focus, especially after several controversies such as anti-semitic rants and inappropriate features by its AI chatbot, Grok, that emerged under xAI's management.
Max Tegmark, founder of the Future of Life Institute, influenced Babuschkin's venture capital direction, underscoring the ethical challenges and responsibilities inherent in AI system development, urging a shift towards safety and long-term benefit considerations. Babuschkin's engagement with these discussions demonstrated commitment to these priorities.
Babuschkin's departure coincides with tumultuous events for xAI, particularly surrounding the performance and reputation of its AI systems. Grok, xAI’s chatbot, embroiled in controversies, managed to detract focus from xAI’s technological advancements. However, despite these setbacks, xAI retains a salient position in the market, known for developing state-of-the-art models, often compared with AI powerhouses like OpenAI and Google DeepMind.
This transition highlights broader industry trends where AI experts prioritize ethical implications, safety, and long-term vision over immediate technological accomplishments. Babuschkin's new venture will undoubtedly focus on sustainable growth paths intersecting with technical excellence, contributing to the evolving AI landscape.
Sources: TechCrunch, X