Billionaire industrialist Elon Musk fired back on a CNBC article published on June 4th, 2024, which claimed he directed Nvidia to prioritize artificial intelligence chips for his social media company, X, over Tesla. The article cited emails allegedly showing Musk requesting Nvidia to divert 12,000 Nvidia H100 chips originally intended for Tesla.

Taking to social media, Musk refuted these claims. He clarified that the south extension of Tesla’s Giga Factory in Texas is nearing completion, paving the way for an expansion of Tesla’s AI infrastructure. This suggests the chip request might be related to Tesla’s internal plans rather than a shift in priorities towards X.

The situation highlights the ongoing need for powerful AI chips in various industries. Nvidia, a leading manufacturer of graphics processing units (GPUs) and AI chips, caters to a wide range of clients, including Tesla, known for its reliance on AI for autonomous driving and other technologies.

While the exact details remain unclear, this exchange underscores the growing importance of AI chips and the potential competition for these resources across different sectors. It remains to be seen whether further information emerges to shed more light on the chip allocation decisions between Tesla and X.