Musk's xAI partners with Nvidia, Dell to build AI supercomputer

Elon Musk's AI startup xA Announced withDell,NvidiaPartnering with Supermicro to build what it says will be the world's largestSupercomputerThe project will provide startups with a large amount of computing resources to support their training work and reduce their reliance on cloud services in Oracle and Company X data centers.

Musk's xAI partners with Nvidia, Dell to build AI supercomputer

Source Note: The image is generated by AI, and the image is authorized by Midjourney

The plan was announced in early June when Dell CEO Michael Dell posted a photo of server racks on X (formerly Twitter) and said his company was building one of these "AI factories" as part of a supercomputer infrastructure. Dell's AI factory concept offers dedicated AI infrastructure services, using liquid-cooled servers and Nvidia's new Blackwell GPUs to support high-intensity AI workloads.

Elon Musk confirmed that Dell will assemble half of the racks in the supercomputer. Supermicro will be responsible for the other half. Musk confirmed Supermicro's involvement in a reply to another X user, simply writing "SMC" - Super Micro Computer. However, Supermicro has not confirmed its cooperation with xAI.

Elon Musk recently revealed that xAI plans to purchase about 300,000 new Blackwell B200s from Nvidia, but this will not happen until "next summer." Given the rapid development of AI hardware, Musk does not see the need to invest in Nvidia's current flagship H100 GPU.

Additionally, xAI recently raised $6 billion in funding, and despite being only a year old, its valuation has reached $24 billion. The company has also been receiving shipments of Nvidia chips that were previously reserved for Tesla. According to CNBC, 12,000 H100 GPUs that were supposed to be delivered to Tesla were transferred to xAI. Musk said during the company's first quarter earnings call that Tesla will acquire about 85,000 Nvidia H100s.

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