Elon Musk Plans to Build xAI Supercomputer Dubbed 'Gigafactory of Compute'

By Jace Dela Cruz

May 27, 2024 05:36 AM EDT

Elon Musk is reportedly planning to launch a supercomputer for his artificial intelligence company, xAI. Dubbed "gigafactory of compute," The Information reported that this supercomputer aims to significantly enhance the capabilities of xAI's Grok chatbot.

Elon Musk Plans to Launch xAI's Supercomputer

According to an investor presentation, Elon Musk seeks to raise funds for this ambitious project. Previous reports noted that xAI aimed to secure $6 billion at an $18 billion valuation and was reportedly close to achieving this goal.

The latest investor presentation revealed that the planned supercomputer would utilize 100,000 Nvidia H100 GPUs, making it approximately four times larger than the current largest GPU clusters.

Milken Institute's Global Conference Held In Beverly Hills — BEVERLY HILLS, CALIFORNIA - MAY 6: Elon Musk, co-founder of Tesla and SpaceX and owner of X Holdings Corp., speaks at the Milken Institute's Global Conference at the Beverly Hilton Hotel,on May 6, 2024 in Beverly Hills, California.
(Photo : Apu Gomes/Getty Images)

The Need for Immense Computing Power

Elon Musk said that the next iteration of Grok requires this immense computing power. The current version, Grok 2, was trained using 20,000 Nvidia H100 GPUs. The proposed expansion aims to increase the training capacity by five times for the upcoming Grok 3 model.

xAI is expected to collaborate with Oracle for this project. According to reports, Musk's AI company is nearing a $10 billion agreement with Oracle to rent its AI servers.