Tycoon's private firms got Nvidia GPUs first because automaker couldn’t use them yet
Tesla CEO Elon Musk has confirmed he redirected Nvidia H100 GPUs intended for the car manufacturer to X and xAI, two private firms he owns."Elon prioritizing X H100 GPU cluster deployment at X versus Tesla by redirecting 12K of shipped chips originally slated for Tesla to X instead," one memo from December reportedly read. The total value of those 12,000 H100s is a little under half a billion dollars.
Tesla had no place to send the Nvidia chips to turn them on, so they would have just sat in a warehouse The conditions of the order swap could be pretty important given that, despite being the face of Tesla, Musk is not the owner, as the electric car maker is a publicly traded company. It may not be okay with investors or regulators if Musk acted in his capacity as Tesla CEO to divert the H100 shipment to private companies he owns without giving Tesla something in return.
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