
Investing.com -- Tesla Chief Executive Elon Musk ordered Nvidia (NASDAQ:NVDA) to redirect chips intended for the electric vehicle giant to his social media company X and his artificial intelligence start-up xAI, according to CNBC.
The chips were slated to help Tesla (NASDAQ:TSLA) evolve into a stronger player in AI and robotics. However, the diversion could potentially delay Tesla's acquisition of processors worth $500 million by months, CNBC said.
Citing internal emails circulated among Nvidia's senior staff, the business news channel also said Musk's prediction earlier this year that Tesla will expand its procurement of Nvidia's active H100s to 85,000 from 35,000 "conflicts with bookings" data. H100s are the flagship AI-optimized chip made by Nvidia, the California-based group that has become a focal point of a boom in enthusiasm over the nascent technology.
Musk later said on X that Tesla would spend $10 billion in 2024 on "training and inference AI." But Nvidia staff noted a "conflict" in this statement with both bookings and fiscal year 2025 financial forecasts as well, CNBC reported.
Oliver Gray contributed to this report.
Begin trading today! Create an account by completing our form
At One Financial Markets we are committed to safeguarding your privacy.
Please see our Privacy Policy for details about what information is collected from you and why it is collected. We do not sell your information or use it other than as described in the Policy.
Please note that it is in our legitimate business interest to send you certain marketing emails from time to time. However, if you would prefer not to receive these you can opt-out by ticking the box below.
Alternatively, you can use the unsubscribe link at the bottom of the Demo account confirmation email or any subsequent emails we send.
By completing the form and downloading the platform you agree with the use of your personal information as detailed in the Policy.