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Elon Musk scored priority access to NVIDIA for his xAI startup. Musk’s AI startup ordered $1.08 billion worth of NVIDIA’s GB200 AI servers.
NVIDIA’s GB200 AI servers are made by Foxconn. The chip company is expected to start the servers’ deliveries by January 2025, and Elon Musk just nabbed a priority spot for xAI, reported DigiTimes.
Musk reportedly approached NVIDIA CEO Jensen Huang directly about xAI’s GB200 server orders. Getting priority access to NVIDIA’s GB200 AI servers aligns with Musk’s goals for xAI.
Huang and Musk are rumored to have a good relationship with each other. The NVIDIA CEO has even spoken highly about Tesla in the past.
“Tesla is far ahead in self-driving cars. But every single car, someday, will have to have autonomous capability. It’s safer. It’s more convenient. It’s more fun to drive,” Huang stated.
Last month, Musk was reportedly discussing a potential investment in xAI with NVIDIA. At the time, Huang declined to comment on the rumors. However, he acknowledged the xAI team’s hard work.
In late November 2024, xAI’s valuation nearly doubled in six months after closing a $5 billion fundraising round, valuing the startup at around $50 billion.
Recently, Musk hinted at a stand-alone xAI app featuring its large language model (LLM) Grok, which is coming soon. The LLM is currently available on X. A dedicated app for Grok would expand its reach beyond X users.
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