Palihapitiya’s VC Firm Firings Were Linked to AI Startup Groq

Social Capital, the venture capital firm led by podcaster and former Facebook executive Chamath Palihapitiya, fired two of its partners related to an undisclosed matter involving its investment in AI startup Groq Inc.

The firm “became aware of a situation” last week, and after conducting an internal probe it hired Wachtell, Lipton, Rosen & Katz to investigate the matter on Thursday, according to a letter Palihapitiya sent to investors that was reviewed by Bloomberg. “On Sunday night we terminated Jay Zaveri and Ravi Tanuku,” Palihapitiya said in the letter.

While the firm has declined to elaborate ...