Tesla and XAI Buying Many H100 and B200 Chips from Nvidia

Last August, former Tesla AI engineer Tim Zaman posted on X that a Tesla AI cluster, built using 10,000 of Nvidia’s H100 chips, was ready to go live.

Musk said a post on X in January that while a Dojo supercomputer cost $500 million to build, Tesla will spend more than that on Nvidia hardware in 2024. The table stakes for being competitive in AI are at least several billion dollars per year at this point.

Oracle CEO Larry Ellison, former Tesla board member and investor in X, said in December that xAI had secured Nvidia GPUs through Oracle to create the first version of Grok. XAI needed more than Oracle could provide.

This week, Nvidia CEO Jensen Huang, launched the new Nvidia B200 chip. Tesla is listed as one of six major clients for the new chip.