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Super Micro, Dell shares jump as Elon Musk calls them suppliers to xAI supercomputer project
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.
Apu Gomes | Getty Images
Shares of Dell Technologies and Super Micro Computer jumped Thursday after Elon Musk revealed that the two hardware makers will provide servers to help his artificial intelligence startup xAI develop a supercomputer.
“Dell is assembling half of the racks that are going into the supercomputer that xAI is building,” Musk said in an X post, adding that Super Micro will also be involved.
Dell and Super Micro both popped more than 5% Thursday.
Musk has promised to build a $500 million “Dojo” supercomputer in Buffalo, New York, and a “super dense, water-cooled supercomputer cluster” at the company’s factory in Austin, Texas. The technology would potentially help Tesla develop the computer vision and large language models needed for robots and autonomous vehicles.
Musk founded xAI last year as a challenger to Microsoft-backed OpenAI and Alphabet‘s Google. Musk also co-founded OpenAI.
Michael Dell, CEO of Dell, said Wednesday in an X post that his firm is building a “Dell AI factory” with Nvidia to power Musk’s AI bot Grok.
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