Tesla CEO Elon Musk plans to invest more than $1 billion on Project Dojo by the end of 2024. This initiative aims to develop an in-house supercomputer capable of handling massive amounts of data, including video from Tesla cars required to create autonomous-driving software.

Musk has revealed that the company will pursue a dual path, using both Nvidia technology and its own homegrown efforts to achieve this goal.

In addition to the investment in Nvidia hardware, Musk has stated that Tesla plans to purchase chips from AMD as part of its spending spree on computing hardware to handle artificial intelligence.

Nvidia is currently the leader in AI accelerators, but AMD is pushing into the market with its MI300 lineup, which it claims can run AI software faster than competitors.

AMD shares briefly climbed more than 1% after-hours following Musk’s announcement. However, it is important to note that the success of Project Dojo remains a long shot. Musk himself has acknowledged that while the payoff could be potentially high, it is a risky investment.

Tesla’s pursuit of AI technology is in line with the company’s overall vision of creating sustainable energy solutions and advancing the future of transportation. With the development of Project Dojo, Tesla aims to not only improve its own autonomous-driving capabilities but also contribute to the advancement of AI technology as a whole.

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