X CEO Yaccarino resigns as AI controversy and Musk’s influence grow
Musk’s vision for X as an ‘everything app’ is under threat as Yaccarino steps down and Tesla faces deeper turmoil.
Linda Yaccarino has stepped down as CEO of X, ending a turbulent two-year tenure marked by Musk’s controversial leadership and ongoing transformation of the social media company.
Her resignation came just one day after a backlash over offensive posts by Grok, the AI chatbot created by Musk’s xAI, which had been recently integrated into the platform.
Yaccarino, who was previously a top advertising executive at NBCUniversal, was brought on in 2023 to help stabilise the company following Musk’s $44bn acquisition.
In her farewell post, she cited efforts to improve user safety and rebuild advertiser trust, but did not provide a clear reason for her departure.
Analysts suggest growing tensions with Musk’s management style, particularly around AI moderation, may have prompted the move.
Her exit adds to the mounting challenges facing Musk’s empire.
Tesla is suffering from slumping sales and executive departures, while X remains under pressure from heavy debts and legal battles with advertisers.
Yaccarino had spearheaded ambitious initiatives, including payment partnerships with Visa and plans for an X-branded credit or debit card.
Despite these developments, X continues to face scrutiny for its rightward political shift and reliance on controversial AI tools.
Whether the company can fulfil Musk’s vision of becoming an ‘everything app’ without Yaccarino remains to be seen.
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