Elon Musk Denies Diverting Nvidia AI Chips from Tesla to X

As an analyst with a background in technology and business, I find Elon Musk’s response to the CNBC article regarding the alleged diversion of Nvidia chips from Tesla to X intriguing. While the emails cited by CNBC suggest that 12,000 H100 chips were diverted, Musk denies any immediate need for Tesla to have them, stating instead that they would have just sat idle in a warehouse. He further emphasizes Tesla’s expansion efforts with the upcoming south extension of Giga Texas, which will house 50,000 H100 chips for FSD training.

Elon Musk, the billionaire businessman behind Tesla and SpaceX, has addressed an article from CNBC concerning his instruction to Nvidia to prioritize the shipment of artificial intelligence chips destined for Tesla to his social media platform, X.

As a researcher examining the events mentioned in the article published on June 4th, I’ve discovered that Nvidia’s emails revealed that Elon Musk allegedly redirected approximately 12,000 of their H100 chips from Tesla to X.

Musk swiftly refuted the accusations on social media, asserting that Tesla didn’t require the chips at hand and they would have otherwise remained unused in one of their warehouses. He further highlighted Tesla’s progress on expanding its AI capabilities by mentioning, “The south extension of Giga Texas is nearly finished, accommodating 50k H100s for self-driving technology development.”

Tesla found itself without a suitable location to activate the Nvidia chips, resulting in them potentially remaining idle in storage instead. On the other hand, the expansion of Giga Texas’ south wing is nearing completion, where approximately 50,000 H100s will be stationed for FSD (Full Self-Driving) training purposes.

— Elon Musk (@elonmusk) June 4, 2024

As an analyst, I’ve observed that the publication of the CNBC article caused Tesla’s share prices to dip by approximately 1% around early yesterday morning. This event has intensified concerns among certain Tesla investors regarding potential conflicts of interest and Musk’s ability to effectively oversee numerous high-profile initiatives simultaneously. Currently, Musk is the head of several companies including Neuralink, xAI, SpaceX, and X (previously Twitter).

As a leading figure in the artificial intelligence and brain-computer interface field, his firms, including XAI and Neuralink, face off against tech giants like OpenAI and Google. In 2023, X unveiled Grok chatbot on its social media site as a response to ChatGPT, which has since been accessible to all paying users from OpenAI.

As a researcher following advancements in neurotechnology, I’m thrilled to report that Neuralink, a pioneering company in this field, recently secured approval from the Food and Drug Administration (FDA) for initiating human trials. In February of this year, they successfully implanted their groundbreaking brain-computer interface into the first volunteer, marking an essential milestone towards revolutionizing human-machine interaction.

Despite the contentious CNBC piece, Musk continues to express optimism about Tesla’s prospects, believing it has the potential to emerge as a trailblazer in artificial intelligence and robotics.

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2024-06-05 03:17