Musk Gives Explanation for Why He Diverted Chips From Tesla to X

Elon Musk has confirmed that he redirected artificial intelligence chips from Tesla Inc. to his other ventures, X Corp. and xAI Corp. This move was explained by Musk in a series of posts, stating that Tesla had no place to install the Nvidia chips.

CNBC previously reported that Musk had redirected 12,000 H100 graphics processing units, originally intended for Tesla, to X Corp. This report was based on an Nvidia memo from December. Doubts about Tesla's procurement plans were also raised by internal Nvidia Corp. emails.

Key takeaways

Elon Musk confirmed that he redirected artificial intelligence chips from Tesla Inc. to his X Corp. and xAI Corp. ventures.
Musk explained that Tesla had no place to put Nvidia chips where they could be turned on, hence the redirection.
Internal Nvidia Corp. emails have cast doubt on Tesla's procurement plans.
Musk reportedly redirected 12,000 of Nvidia's H100 graphics processing units originally meant for Tesla to X Corp., according to an Nvidia memo from December.

Musk Gives Explanation for Why He Diverted Chips From Tesla to X

Key takeaways

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