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  • Writer's pictureRealFacts Editorial Team

Elon Musk Redirects Nvidia Chips From Tesla to X

Elon Musk

Elon Musk, Tesla’s CEO, recently redirected Nvidia AI processors initially intended for Tesla to his social media platform, X (formerly Twitter), which he acquired in October 2022. As reported by Kit Norton, author at Investors Business Daily, “Musk wrote on X Tuesday that ‘Tesla had no place to send the Nvidia chips to turn them on, so they would have just sat in a warehouse.’ The Tesla chief added that when the extension to Tesla's Texas factory is complete, the H100 Nvidia chips will be housed there to train Tesla Full Self-Driving, or FSD.” 

Additionally, according to a Tuesday morning CNBC report, internal Nvidia emails revealed that in December 2023, Musk prioritized deploying a cluster of H100 GPUs for X over Tesla. The memo stated that 12,000 H100 GPUs initially destined for Tesla were redirected to X. The report also mentioned an internal Nvidia email from late April, which doubted Musk's claim that Tesla is investing $10 billion in AI. These developments came shortly before Tesla's annual meeting next week, where shareholders are voting on whether to reapprove Musk's 2018 $56 billion compensation package. Amid the negative reports, Tesla's stock fell over 1% by midday Tuesday before paring those losses to close down 0.85%.


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