Elon Musk Outlines Tesla Giga Texas Expansion Plans: New Data Center To Have Over 500MW Capacity In Next 18 Months To Power Own And Nvidia AI Hardware
Portfolio Pulse from Anan Ashraf
Tesla Inc. (NASDAQ:TSLA) plans to expand its Giga Texas facility to include a new data center with over 500MW capacity in the next 18 months. This center will house Tesla's AI hardware and Nvidia's GPUs. Tesla will spend $3-4 billion on Nvidia hardware and the rest of its $10 billion AI budget internally.
June 21, 2024 | 12:20 pm
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Nvidia will supply GPUs for Tesla's new data center at Giga Texas, with Tesla planning to spend $3-4 billion on Nvidia hardware. This partnership highlights Nvidia's strong position in the AI hardware market.
Nvidia's role in supplying GPUs for Tesla's new data center underscores its leadership in AI hardware. The significant purchase by Tesla is likely to boost Nvidia's revenues and positively impact its stock price in the short term.
CONFIDENCE 90
IMPORTANCE 85
RELEVANCE 80
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Tesla is expanding its Giga Texas facility to include a new data center with over 500MW capacity, housing both Tesla's AI hardware and Nvidia's GPUs. This expansion is part of a $10 billion AI budget, with $3-4 billion allocated to Nvidia hardware.
The expansion of Giga Texas and the significant investment in AI hardware, including Nvidia GPUs, indicates a strong commitment to AI development. This is likely to positively impact Tesla's stock price in the short term due to increased investor confidence in Tesla's future capabilities and growth.
CONFIDENCE 95
IMPORTANCE 90
RELEVANCE 100