Eyeing a Billion Dollar Investment, Elon Musk Praises Nvidia Hardware as Tesla Dojo Supercomputer Prepares to Use AI From the Graphics Giant

There is healthy competition in the GPU market at the moment, with major manufacturers boasting a loyal customer base. Among these GPU makers, Nvidia and AMD are probably the two biggest names who have set industry trends for quite a few years now. Gamers have always been divided over which brand makes the better product.

Now, Elon Musk gets in on the debate with a plan that just might tilt the market in favor of Nvidia. Musk recently revealed that Tesla may be looking to invest $1 billion in Nvidia as the tech giants plan to use Nvidia AI chips for their Dojo supercomputer.

Tesla to incorporate Nvidia GPU for algorithm testing

Nvidia fans and shareholders rejoice as Elon Musk makes another trademark statement that can yet again disrupt existing market conditions. While it’s pretty common for the Tesla boss to make controversial statements, his impact on the global market can’t be ignored by anyone. Musk’s statement has to do with Tesla making its own hardware and software to reduce dependency on third-party manufacturers.

During a recent quarterly earnings meeting, Musk stated his appreciation for Nvidia AI chips. Even though Tesla has its own AI chip, known as D1, for its FSD software (full self-driving), Nvidia GPUs have been extensively used by Musk’s organization for AI training purposes. Musk’s announcement will make room for Nvidia GPUs to be used for FSD testing alongside D1 chips.

Read more: Everything to Know About the Whereabouts of the New Series of AMD Ryzen 8000 Processors

A billion-dollar investment may be in the works

The fact that Tesla opted for Nvidia GPUs for its AI training highlights just how good the GPU manufacturers are. Musk also revealed that the value of Nvidia’s AI in processing video data may also see Tesla investing as much as $1 billion in Nvidia GPUs. Musk also praised Nvidia CEO Jensen Huang during the meeting.

Fans of Nvidia are holding their breath to see how their favorite GPU makers will fare in the market. Recent innovations by competitors AMD have changed the industry demographic significantly. However, Tesla’s dependency on Nvidia only establishes the latter’s prowess.

How do you think the collaboration will affect the GPU market? Let us know in the comments.

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