Musk made the announcement in a downtown Austin venue to an audience that included Texas Governor Greg Abbott. The other will be a high-power chip, designed for space that could be used by SpaceX and xAI. SpaceX acquired xAI in February, with the latter operating as a wholly owned subsidiary. Tesla has already been working with xAI on a project called Digital Optimus or Macrohard, and Tesla also sells its megapack batteries to xAI. In January, Tesla announced a $2 billion investment into xAI and a framework agreement for the companies to work together.

Source: Bangkok Post March 22, 2026 10:30 UTC