Elon Musk is yet again at the center of a controversy about using Tesla's assets and resources for his other companies, this time for X. The controversy focuses on the NVIDIA GPUs that Tesla ordered. Instead of all coming to the clean energy and EV company, a few thousand units of the H100 GPUs for AI development are now requested to be given to the social media.
While this action is rare in the automaker industry, Elon Musk is a different kind of business mogul whose assets fall in different markets, with this new diversion spotted via emails.
Elon Musk's Tesla NVIDIA GPUs to be Used for X
Elon Musk is yet again exposed for diverting Tesla's resources to his other companies, now via a new set of emails from NVIDIA staff regarding their GPUs coming to X, according to CNBC. This latest revelation shows that the reserved H100 GPUs for Tesla were recently requested by Musk to be delivered to X, the social media company known for also developing the tech via xAI.
As much as 12,000 H100 GPUs were requested by the CEO to be handed off to X, but it was not revealed why the billionaire requested this diversion.
According to Ars Technica, this is not the first scrutiny Musk faced regarding diverting his resources from one Tesla to another, particularly as this came up as a question in 2022 when Senator Elizabeth Warren questioned Tesla about why several of its employees were allocated to Twitter.
While Tesla is a publicly traded company, X is known to be a private corporation under Musk.
Tesla's Need for NVIDIA H100 GPUs
For many years, it has been widely known that Tesla's Dojo supercomputer was the source for training its autonomous driving systems to deliver self-driving capabilities for its electric vehicles. It widely centers on artificial intelligence doing the job for them, but when the generative AI industry rose, Tesla also shifted towards relying on these devices, ordering 10,000 H100 GPUs from NVIDIA which cost him $500,000.
It was later reported that NVIDIA had seen large investments from Musk's different tech firms, believing that the Santa Clara-based company's products were superior. This massive focus on AI is not only for Tesla's Dojo supercomputer to deliver self-driving capabilities but also for xAI, the latest company from Musk, which centers on AI developments, with Grok being its first product.
From the iconic H100 GPUs down to the latest Blackwell AI processors from NVIDIA, Musk and his companies are relying heavily on the tech for their chance to deliver these new experiences in the future. However, there may be another controversy that Elon Musk would face as emails reveal that he is diverting Tesla resources, particularly with NVIDIA H100 GPUs, for X, one that has already faced scrutiny before.
