Oct 6 (Reuters) - Elon Musk has appointed former Morgan

Stanley banker Anthony Armstrong as the new chief financial

officer of his artificial intelligence group xAI, the Financial

Times reported on Monday.

Armstrong will lead the finance operations for both xAI and

social media platform X, the report said, citing several people

familiar with the matter.

xAI and X did not immediately respond to a Reuters request

for comment.

Armstrong will replace Mike Liberatore as CFO.

Liberatore left the artificial intelligence startup this year

following clashes with members of Musk's inner circle over

corporate structure and aggressive financial targets, the report

said.

Armstrong has emerged as a close lieutenant in recent

years, including during Musk's stint in Washington at the

Department of Government Efficiency, the report added.

Musk launched xAI in 2023 to challenge Big Tech's AI

push, accusing industry leaders of excessive censorship and lax

safety standards.