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Nvida emails: Elon Musk diverting Tesla GPUs to his other companies

A row of server racks

Enlarge / Tesla will have to rely on its Dojo supercomputer for a while longer after CEO Elon Musk diverted 12,000 Nvidia GPU clusters to X instead. (credit: Tesla)

Elon Musk is yet again being accused of diverting Tesla resources to his other companies. This time, it’s high-end H100 GPU clusters from Nvidia. CNBC’s Lora Kolodny reports that while Tesla ordered these pricey computers, emails from Nvidia staff show that Musk instead redirected 12,000 GPUs to be delivered to his social media company X.

It’s almost unheard of for a profitable automaker to pivot its business into another sector, but that appears to be the plan at Tesla as Musk continues to say that the electric car company is instead destined to be an AI and robotics firm instead.

Does Tesla make cars or AI?

That explains why Musk told investors in April that Tesla had spent $1 billion on GPUs in the first three months of this year, almost as much as it spent on R&D, despite being desperate for new models to add to what is now an old and very limited product lineup that is suffering rapidly declining sales in the US and China.

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https://arstechnica.com/?p=2028780

November 2024
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