Tesla Signs $16.5b Deal With Samsung To Make Ai Chips

Tesla has signed a $16.5 cardinal woody to get its next-generation chips from Samsung. 

“Samsung’s elephantine caller Texas fab will beryllium dedicated to making Tesla’s next-generation AI6 chip,” Elon Musk posted connected X precocious Sunday evening. “The strategical value of this is difficult to overstate.”

Tesla’s AI6 (AKA Hardware 6) spot is nan company’s stake connected an all-in-one spot creation that tin standard from powering its driver assistance strategy known arsenic Full Self-Driving (Supervised) to Tesla’s Optimus humanoid robots, each nan measurement to high-performance AI training successful information centers. 

Musk noted Tesla is moving pinch TSMC to make AI5 chips, which conscionable vanished nan design. The A15, a procreation that is chiefly built for FSD. will initially beryllium made successful TSMC’s Taiwan mill and past astatine its Arizona facility. Samsung already makes nan A14 chip, according to Musk.

The woody is simply a boost for Samsung, which struggled to get its chip-making task disconnected nan crushed aft failing to pull and clasp awesome clients. Musk said successful different station that Tesla whitethorn extremity up spending much than $16.5 cardinal connected Samsung chips. 

“Actual output is apt to beryllium respective times higher,” he said.

In a later post, Musk said Samsung agreed to let Tesla to assistance successful maximizing manufacturing efficiency.

“This is simply a captious point, arsenic I will locomotion nan statement personally to accelerate nan gait of progress. And nan fab is conveniently located not acold from my house,” Musk wrote.