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The Markets
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Proactive UK has moved.
Coverage of London’s small caps continues on proactiveinvestors.com
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The Markets
by Proactive
Proactive UK has moved.
Small-cap coverage continues on .com
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The Markets
by Proactive
Proactive UK has moved.
Small-cap coverage continues on .com
Go to Proactive UK

Manufacturing & engineering

Tesla uses so much Nvidia hardware the chipmaker can't keep up with demand, Musk says

Tesla uses so much Nvidia hardware in its self-driving training system that the chipmaker can’t keep up with the demand, CEO Elon Musk said Wednesday.

“We’re using a lot of Nvidia hardware,” Musk said on Tesla’s quarterly earnings call. “We’ll actually take Nvidia hardware as fast as Nvidia will deliver it to us. Tremendous respect for [CEO] Jensen [Huang] and Nvidia. They’ve done an incredible job.”

Tesla also uses Nvidia chips to power its custom-built supercomputer, Musk said. The problem is that even though Nvidia has prioritized some Tesla orders, the chipmaker has too many customers to deliver all the hardware Tesla needs.

As a result, Musk says Tesla is building its own supercomputer, known as Dojo, that instead runs on custom silicon. Construction of the machine is planned to begin this month.

“If [Nvidia] could deliver us enough GPUs, we might not need Dojo, but they can’t,” Musk said.

Musk’s full-throated endorsement did little to move markets, however. Nvidia shares declined nearly 1% Wednesday and Tesla dropped about 0.7%, along with the broader tech sector.

Nvidia next reports earnings on August 23.

Contact Andrew Kessel at andrew.kessel@proactiveinvestors.com

Follow him on Twitter @andrew_kessel

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