SpaceX Super Intelligence Cuts ~60 From Grok Imagine Video Team

SpaceX's artificial intelligence division has eliminated roughly 60 roles from the team developing its Grok Imagine video and image generation tool, The Information reported on November 13. Only a handful of employees remain to keep the product running.

The cuts land inside the SpaceX Super Intelligence group, the entity formed when SpaceX acquired xAI in a $250 billion all-stock transaction in February. After the merger, the AI business was reorganized into four areas: Grok Main and Voice, coding tools, Imagine, and Macrohard. Imagine is the one losing its team.

"Rather than supporting capital-intensive visual media models, management has prioritized AI coding tools and its autonomous agent product, Grok Bot," Investing.com wrote summarizing the report. That pivot follows SpaceX's $60 billion acquisition of Cursor in August, which gave the group a coding product with cleaner recurring revenue than a consumer text-to-video tool.

The problem for Imagine: "Independent benchmarks cited by The Information also indicated that Grok Imagine trailed leading competing models in performance." OpenAI discontinued Sora in March. The video generation category has been thinning out for most of 2026.

"While Grok Imagine remains accessible to users, its long-term viability is uncertain without dedicated engineering support," one summary of the report noted. No formal announcement has addressed what the layoffs mean for the product, and there is no public roadmap. This is the third story on our Elon Musk tracker this week.