CNBC reported Tuesday that Tesla CEO Elon Musk urged Nvidia to prioritize AI processor shipments to X and xAI above the electric-vehicle maker
According to a December Nvidia internal memo, CNBC reported,
“Elon prioritized X H100 GPU cluster deployment at X over Tesla by redirecting 12,000 H100 GPUs originally scheduled for Tesla to X instead.”
“In exchange, original X orders of 12K H100 slated for Jan and June will be redirected to Tesla,” according to the document.
According to CNBC, the modification will cause a several-month delay in Tesla’s receipt of over $500 million worth of processors.
Musk announced earlier this year that Tesla would purchase more H100s, the most sophisticated AI processors made by Nvidia, and spend $10 billion “in combined training and inference AI” this year.
In April, Tesla, embroiled in a downturn in the electric vehicle (EV) market, announced the global layoff of over 10% of its workforce.