Reid Hoffman says SpaceX 'not an AI company', xAI 'complete train wreck'
fortune.com
June 24, 2026
7 min read
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58/100
Summary
Reid Hoffman stated that SpaceX is not an AI company and criticized xAI as a "complete train wreck." He emphasized that there is room for both OpenAI and Anthropic in the AI industry.
Key Takeaways
- Reid Hoffman criticized SpaceX's AI strategy as "buying your way into relevance" and stated that SpaceX is "not an AI company."
- All 11 original co-founders of xAI had departed by May 2026, leading to persistent criticism of its Grok models for lagging behind competitors.
- The U.S. government ordered Anthropic to pull its Fable and Mythos models from the market due to cybersecurity concerns, which Hoffman described as an "autocratic willy-nilly" approach.
- Hoffman emphasized that there is room for both OpenAI and Anthropic in the AI industry, countering the narrative of a zero-sum competition between the two.
Community Sentiment
Positives
- The discussion around SpaceX's potential AI services highlights the growing intersection of aerospace and AI, suggesting new revenue streams that could reshape the industry.
- The acknowledgment of AI's role in SpaceX's IPO valuation indicates a recognition of AI's increasing importance in various sectors, including aerospace.
Concerns
- Reid Hoffman's dismissal of SpaceX as 'not an AI company' reflects a misunderstanding of the evolving landscape where AI capabilities are integral to many industries.
- Critics argue that xAI is a 'complete train wreck,' indicating significant concerns about its operational effectiveness and the viability of its AI applications.
- The sentiment that AI technologies are eroding businesses from within suggests a growing fear of job displacement and the negative impact of AI on traditional industries.
