Elon Musk, the CEO of Tesla, has reportedly redirected Nvidia’s AI chips from the electric vehicle company to his other ventures, including his private AI companies. Despite Tesla’s significant investment in artificial intelligence technologies, recent reports suggest that Musk may be prioritizing his personal AI enterprises over those at Tesla.
During an earnings call, Musk announced plans to increase Tesla’s procurement of AI chips from Nvidia significantly. However, memos from Nvidia revealed that Musk had requested the chip manufacturer to prioritize his other companies over Tesla, delaying the delivery of over $500 million worth of graphics processing units to the electric vehicle company.
Musk’s focus on his private AI ventures, such as xAi and X Corp., has raised concerns among critics, who believe that he may be overextended across his various enterprises, including SpaceX and The Boring Co. This apparent shift in attention underscores Musk’s challenges in advancing technology at Tesla.
Despite the criticism, Tesla continues to rely heavily on AI-driven initiatives to address investor concerns. The company is progressing in deploying self-driving vehicles and humanoid robots, named Optimus. Musk’s desire to increase his voting control in Tesla before further advancing AI and robotics ambitions has faced opposition from stakeholders, including Tesla’s largest retail shareholder.
The upcoming shareholder vote on Musk’s compensation plan, aimed at increasing his ownership in Tesla, will likely shed more light on the CEO’s priorities regarding the company’s AI and robotics endeavors. Musk’s actions and decisions regarding the allocation of AI chips from Nvidia to his other businesses will undoubtedly impact Tesla’s technological advancements and future prospects.
