OpenAI Eyes Massive 10GW Ohio Data Center Campus in Potential $500 Billion AI Infrastructure Deal 
Adobe Beats Q2 2026 Estimates, Raises Full-Year Outlook as AI Revenue Surges Despite Stock Drop 
Astera Labs and Rocket Lab Surge After Nasdaq-100 Inclusion Announcement 
Alibaba Offers $1.5 Billion to Acquire Grocery Delivery Platform Pupu 
Changchun Targets EV Growth as China’s Auto Industry Consolidation Accelerates 
Frasers Group Launches €2 Billion Hugo Boss Takeover Offer Amid Control Speculation 
Qualcomm Stock Gains After Jensen Huang Endorsement 
Jensen Huang Strengthens Nvidia’s South Korea Ties Amid AI Expansion 
SpaceX IPO Set for Explosive Debut as Valuation Tops $2.2 Trillion 
Apple Unveils Enhanced Apple Intelligence and Next-Generation Siri at WWDC 2026 
Bouygues, Orange and Iliad Strike €20.35 Billion Deal to Acquire SFR 
Meta Delays Release of New AI Model as API Rollout Remains Uncertain 
Exxon Mobil Set to Appoint Alex Volkov as Global Trading Chief 
SpaceX IPO Sets Record With $75 Billion Raise, Valuation Hits $1.77 Trillion 
Honda Leadership Crisis Deepens as Retired Executives Challenge CEO Toshihiro Mibe’s Strategy 
Elon Musk’s Tesla and xAI are projected to allocate $20 billion to AI initiatives by the end of 2024, according to a Morgan Stanley analysis. This includes significant investments in supercomputers, GPU clusters, and proprietary AI technologies to solidify their leadership in the rapidly evolving AI sector.
Tesla to Invest $10 Billion in AI by 2024, Focusing on Supercomputers and Infrastructure
According to a recent analysis conducted by Adam Jonas of Morgan Stanley, Tesla is anticipated to allocate the combined market capitalization of Rivian and Lucid Group to AI initiatives by the conclusion of 2024. Musk is making substantial investments to establish a dominant position in the swiftly evolving AI sector, as evidenced by the approximately $10 billion in AI-related expenditure from xAI, his AI-focused venture.
In a recently published investment note, Adam Jonas provided a comprehensive breakdown of these expenditures and outlined the anticipated spending by Musk's enterprises by the end of 2024. Tesla is expected to allocate a staggering $10 billion to AI initiatives in 2024. According to Wccftech, this encompasses a supercluster in Austin that will contain approximately 50,000 NVIDIA H100 GPUs and 20,000 of Tesla's proprietary D1 processors. The company's Dojo supercomputer and inference-driven computing will receive additional funding.
This projection is corroborated by Tesla's most recent Form 10-Q filing, which indicates that $2.6 billion was allocated to "Computer Equipment, Hardware, and Software PPE," $2.5 billion to AI infrastructure, and nearly $7 billion to "Construction in Progress," which is predominantly for AI-related assets. The $10 billion estimate is consistent with these expenditures.
Jonas provides a more detailed breakdown of Tesla's AI expenditures, predicting that $5 billion will be allocated to internal development, $3-4 billion to NVIDIA GPUs, and the remaining amount to infrastructure.
xAI to Invest $10 Billion in AI Supercluster, Expanding GPU Capacity and Training Grok 3 LLM
xAI will spend approximately $10 billion by the end of 2024, primarily due to its massive supercluster, Colossus, and Tesla's efforts. The Grok 3 large language model (LLM), which is anticipated to be launched in December, is presently being trained on this supercluster equipped with 100,000 liquid-cooled H100 GPUs.
Musk previously declared that the subsequent substantial phase of xAI would involve integrating 300,000 B200 units with CX8 networking by the summer of 2025. In a funding round that valued the company at $18 billion, xAI raised $6 billion earlier this year. xAI's portfolio will be expanded by the company's increased investments in GPU clusters despite Grok being its sole product. This move is indicative of Musk's aggressive approach to AI.
