Elon Musk’s xAI is funding up to $6 billion to acquire 100,000 Nvidia chips for the Memphis data center
Elon Musk’s artificial intelligence business, xAI, is funding up to $6 billion at a $50 billion value.
According to insiders, the funds will go towards purchasing 100,000 Nvidia chips. Tesla’s Full Self Driving is intended to use the new Memphis supercomputer.
With Grok, X.AI hopes to directly compete with firms such as OpenAI, the provider of ChatGPT, which Musk helped launch before leaving the project in 2018 due to a disagreement with cofounder Sam Altman. It will also compete with Google’s Bard technology and Anthropic’s Claude chatbots.
Musk is said to have purchased thousands of high-powered graphics processing units (GPUs) from Nvidia in early 2023, which are required to develop a big language model.
