Tesla CEO Elon Musk has told Nvidia to prioritise shipments of AI processors to his companies X and xAI over the electric-vehicle maker, CNBC reported on Tuesday.
“Elon prioritises X H100 GPU cluster deployment at X versus Tesla by redirecting 12K of shipped H100 GPUs originally slated for Tesla to X instead,” an internal Nvidia memo from December showed, according to the CNBC report.
“In exchange, original X orders of 12K H100 slated for January and June will be redirected to Tesla,” the memo said.
Tesla did not immediately respond to a Reuters request for comment, while Nvidia declined to comment.
The change delays Tesla’s receipt of more than $500 million in processors by months, according to CNBC.
Earlier this year, Musk said Tesla will increase the number of H100s—Nvidia’s most advanced AI processors—that it has deployed and will spend $10 billion this year “in combined training and inference AI.”.
Tesla has been battling a slowdown in the EV market and announced layoffs of more than 10% of its staff global in April.
