Board probably took a look at updated burn-rate projections, saw that they have 6 months of runway, saw that they don't have enough GPUs, saw that Llama and Mistral and whatever other open-source models are awesome and run on personal computers, and thought to themselves - why the hell are we spending so much God damn money? For $20 a month memberships? For bots to be able to auto-signup for accounts, not prepay, burn compute, and skip the bill?
Then Grok gets released on Twitter, and they are left wondering - what exactly is it that we do, that is so much better, that we are spending 100x of what cheapo Musk is?
They have no moat other than training data and computing power - over the long term, while they may become a huge company, Apple will keep making M chip computers.