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Tesla Advances AI Chip Development Amid Stock Volatility

Tesla Advances AI Chip Development Amid Stock Volatility

Published:
2025-11-23 11:21:02
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BTCCSquare news:

Tesla is nearing completion of its AI5 chip design and has initiated preliminary work on the AI6 iteration, according to CEO Elon Musk. The company aims to release a new chip design annually, with AI5 approaching tape-out and AI6 in the planning phase. Samsung Electronics secured a $16.5 billion contract in July to manufacture these chips, including production at a new Texas facility for the AI6 model.

Despite these technological strides, Tesla's stock exhibited notable volatility last week. Shares initially surged 4% to $428.94 before retreating to close at $395.04, underperforming a modestly rising tech sector. Friday's session saw a further 1.05% decline to $391.09.

Musk maintains ambitious production targets, asserting Tesla's intention to outpace all competitors in AI chip manufacturing. The company's current vehicular chip iteration remains AI4, with the next-generation processors destined for both automotive and data center applications.

|Square

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