Tesla Plans $10 Billion AI Investment in 2024, Led by Nvidia Partnership

Date:

Tesla, under the vision of CEO Elon Musk, is setting its sights on a significant investment in artificial intelligence (AI) this year. The leading electric vehicle manufacturer is projected to allocate a staggering $10 billion towards AI-related capital expenditure in 2024.

Elon Musk revealed that a substantial portion of this budget, around $3-4 billion, will be dedicated to procuring hardware from chip company Nvidia. The focus on Nvidia’s hardware is crucial for Tesla’s AI training superclusters, with Musk stating that it accounts for two-thirds of the total cost.

In a bid to prioritize AI advancements, Tesla has instructed Nvidia to prioritize shipments of AI processors to key projects such as X and xAI over other sectors. This strategic move aligns with Tesla’s commitment to harnessing cutting-edge technology for autonomy and ride-hailing services.

Looking ahead, Tesla has expressed optimism about the scalability and profitability of its autonomy business through a vision-only architecture powered by neural networks. The company’s recent transition to Hardware 4.0, complete with enhanced processing power and camera capabilities, underscores its dedication to pushing the boundaries of AI innovation.

With the rollout of FSD (Supervised) V12 and the introduction of features like Autopark, Tesla is making significant strides in autonomous driving capabilities. The company is also working on integrating ride-hailing functionality into its Tesla App, aiming to deliver a seamless and intuitive user experience across its product portfolio.

As Tesla continues to advance its AI infrastructure and software ecosystems, it remains at the forefront of the electric vehicle industry’s technological evolution. The $10 billion investment in AI underscores the company’s unwavering commitment to innovation and leadership in the realm of intelligent mobility solutions.

See also  AI Stocks Leave Short Sellers with $13 Billion Losses in 2020

Frequently Asked Questions (FAQs) Related to the Above News

Please note that the FAQs provided on this page are based on the news article published. While we strive to provide accurate and up-to-date information, it is always recommended to consult relevant authorities or professionals before making any decisions or taking action based on the FAQs or the news article.

Advait Gupta
Advait Gupta
Advait is our expert writer and manager for the Artificial Intelligence category. His passion for AI research and its advancements drives him to deliver in-depth articles that explore the frontiers of this rapidly evolving field. Advait's articles delve into the latest breakthroughs, trends, and ethical considerations, keeping readers at the forefront of AI knowledge.

Share post:

Subscribe

Popular

More like this
Related

Samsung Unpacked Event Teases Exciting AI Features for Galaxy Z Fold 6 and More

Discover the latest AI features for Galaxy Z Fold 6 and more at Samsung's Unpacked event on July 10. Stay tuned for exciting updates!

Revolutionizing Ophthalmology: Quantum Computing’s Impact on Eye Health

Explore how quantum computing is changing ophthalmology with faster information processing and better treatment options.

Are You Missing Out on Nvidia? You May Already Be a Millionaire!

Don't miss out on Nvidia's AI stock potential - could turn $25,000 into $1 million! Dive into tech investments for huge returns!

Revolutionizing Business Growth Through AI & Machine Learning

Revolutionize your business growth with AI & Machine Learning. Learn six ways to use ML in your startup and drive success.