
The diversion of AI chips from Tesla to X has the potential to delay Tesla's plans for autonomous vehicles and its robotaxi unveiling scheduled for August3. The move could hinder the development of the supercomputers necessary for autonomous vehicles and robotics, as Tesla was supposed to be stocking up on Nvidia's H100 artificial intelligence chips to power its transformation into "a leader in AI and robotics3." Tesla investors, who are betting on Musk delivering his promise of fully autonomous vehicles, may be rankled by this decision3.

Elon Musk initially planned for Tesla to acquire 35,000 H100 chips by the end of the year. However, in a Tesla earnings call earlier this year, he said the company would increase its acquisition of H100s from 35,000 to 85,000 by the end of this year.

Elon Musk stated that the purpose of Tesla acquiring Nvidia's H100 artificial intelligence chips is to power the company's transformation into "a leader in AI and robotics." In a Tesla earnings call earlier this year, Musk mentioned that the company would increase its acquisition of H100s from 35,000 to 85,000 by the end of this year. He also mentioned that Tesla would spend $10 billion "in combined training and inference AI, the latter being primarily in car."