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Elon Musk's xAI sparks employee backlash over mandatory surveillance software
The directive was not limited to company-issued laptops; staff using their own devices were also required to comply, with an initial deadline set for July 11.
Researchers from OpenAI, Anthropic, and other labs have reportedly criticized xAI’s culture as “reckless” and “completely irresponsible” following several high-profile issues.
Elon Musk's artificial intelligence startup, xAI, is facing mounting criticism from employees after mandating the installation of Hubstaff, a productivity-tracking software, on their personal computers - a move that has ignited debate over privacy and workplace surveillance.
According to a report by Business Insider, xAI employees were instructed earlier this month to download Hubstaff, which monitors work activity by tracking websites visited, applications used, keystrokes, mouse movements, and even capturing periodic screenshots during work hours.
The directive was not limited to company-issued laptops; staff using their own devices were also required to comply, with an initial deadline set for July 11.
The company's human resources team justified the rollout in an internal email, stating that the software would "streamline work processes, provide clearer insights into daily tutoring activities, and ensure resources align with Human Data priorities. The primary target of this monitoring is employees involved in training xAI's chatbot, Grok.
However, the policy quickly drew ire from within. Employees voiced strong objections, with one resigning in protest and describing the move as "surveillance disguised as productivity" and "manipulation masked as culture" in a Slack message that garnered widespread support among colleagues. Many staff members expressed concern that the requirement to monitor personal devices crossed a line, undermining trust and the company's culture.
After Business Insider contacted xAI for comment, the company partially reversed its stance, allowing employees who requested company laptops to delay installing Hubstaff until they received their official devices. Yet, ambiguity remains for those who already installed the software or purchased new hardware to comply with the original mandate.
xAI has emphasized that Hubstaff’s tracking is limited to designated work hours and does not monitor activity outside of those times. To address privacy concerns, the company suggested employees could either use a new company-issued Chromebook or create a separate login profile on their personal computers.
Despite these reassurances, the controversy has highlighted broader tensions at xAI, where some employees see the move as part of a pattern of high-intensity demands and top-down control reminiscent of Musk's management style at other ventures like X and Tesla.
Critics warn that such policies may hinder xAI's ability to attract and retain top talent in the competitive AI sector.
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