Latest news with #AI6chip
Yahoo
31-07-2025
- Automotive
- Yahoo
Elon Musk Said He Would 'Walk The Line Personally' Following $16.5 Billion Samsung Deal, Is this A Return To 'Wartime CEO' Mode?
Tesla Inc. (NASDAQ:TSLA) CEO Elon Musk recently announced he will be closely involved with Samsung Electronics (OTC:SSNLF) manufacturing the EV giant's next-gen AI6 chip following a $16.5 billion deal. What Happened: Taking to social media platform X, Musk announced the deal with Samsung on Monday. "Samsung's giant new Texas fab will be dedicated to making Tesla's next-generation AI6 chip," Musk said before adding that the deal had significant strategic 7,000+ investors have joined Timeplast's mission to eliminate microplastics—now it's your turn to However, what was interesting was the billionaire's comments after. Replying to the original post, Musk said that the deal was a critical point. "I will walk the line personally to accelerate the pace of progress," he said. This could signal Musk's renewed focus on his companies after a stint in politics and activism with the Trump administration and the Department of Government Efficiency (DOGE). Could this be a 'Wartime CEO' moment for Musk? Well, this isn't the first time Musk has expressed full commitment to his had earlier said in a post that he would "spend seven days a week" and would sleep at the office if his kids were away. That too wasn't an isolated case, as Musk had also shared that he would be "Back to spending 24/7 at work and sleeping in conference/server/factory rooms," following outages experienced by social media platform added that he would 'be super focused on 𝕏/xAI and Tesla (plus Starship launch next week), as we have critical technologies rolling out."Why It Matters: Musk's renewed commitment to his businesses could be a confidence booster for investors following a disappointing Q2 earnings call for Tesla that saw the EV giant post a 12% revenue decline as well as dwindling sales figures across multiple regions. Despite this, Musk has remained optimistic and promised to release a new affordable Model Y, a decision that has been slammed by critics as it could lead to cannibalization within the company's lineup. Musk has also laid out ambitious targets of producing over 100,000 units of the Optimus robot annually in 5 years and serving about half of the population of the U.S. with robotaxis by the end of the year. Elsewhere, Musk's SpaceX also aims to conduct a test launch of its Starship rocket next month and the billionaire has said that the next major milestone for the company is to achieve orbital propellant refilling. Read Next: $100k+ in investable assets? Match with a fiduciary advisor for free to learn how you can maximize your retirement and save on taxes – no cost, no obligation. These five entrepreneurs are worth $223 billion – they all believe in one platform that offers a 7-9% target yield with monthly dividends Photo courtesy: Shutterstock/Alessia Pierdomenico UNLOCKED: 5 NEW TRADES EVERY WEEK. Click now to get top trade ideas daily, plus unlimited access to cutting-edge tools and strategies to gain an edge in the markets. Get the latest stock analysis from Benzinga? This article Elon Musk Said He Would 'Walk The Line Personally' Following $16.5 Billion Samsung Deal, Is this A Return To 'Wartime CEO' Mode? originally appeared on © 2025 Benzinga does not provide investment advice. All rights reserved. Sign in to access your portfolio
Yahoo
28-07-2025
- Automotive
- Yahoo
Tesla Just Signed a Chip Supply Deal with Samsung. What Does That Mean for TSLA Stock?
Tesla (TSLA) shares closed higher today after the company announced one of its largest tech partnerships ever with Samsung Electronics. The agreement worth an estimated $16.5 billion will see the South Korean giant dedicate its new Texas fab to 'making Tesla's next-generation AI6 chip,' billionaire CEO Elon Musk confirmed in a X post on Monday. More News from Barchart Warren Buffett Warns Inflation Turns Business Into 'The Upside-Down World of Alice in Wonderland' But Weeds Out 'Bad Businesses' Why GOOGL Stock May Be the Market's Next Big Winner Alphabet Posts Lower Free Cash Flow and FCF Margins - Is GOOGL Stock Overvalued? Markets move fast. Keep up by reading our FREE midday Barchart Brief newsletter for exclusive charts, analysis, and headlines. Despite today's gain, Tesla stock is down nearly 12% versus its high set in the final week of May. Significance of Samsung Deal for Tesla stock The Samsung deal is meaningfully positive for TSLA as it secures long-term access to custom AI chips critical for Full Self-Driving (FSD), robotics, and data center operations. Through this deal, Tesla gains supply chain stability and manufacturing oversight as well. The AI6 chip will unify the automaker's hardware across vehicles and robots, boosting efficiency and reducing reliance on Nvidia (NVDA). In short, the chip supply agreement is a strategic leap for Tesla's vertical integration and AI leadership, potentially accelerating product innovation, improving margins, and increasing the TSLA share price over time. William Blair Remains Dovish on TSLA Shares In a CNBC interview, William Blair analyst Jed Dorsheimer was nothing but positive on the Samsung deal announced today as it reinforces Musk's commitment to moonshot businesses like robotaxis, humanoid robotics, and AI infrastructure. These ventures are broadly expected to drive future value for the Austin-headquartered EV maker. 'Most investors want to see Elon do what Elon does best, which is innovate, and this certainly is a data point for that,' he argued. Still, the senior William Blair analyst maintained his 'Market Perform' rating on Tesla shares citing continued weakness in the company's core automotive business and the potential impact that the removal of EV tax credits will have on it post-September. Wall Street Agrees with William Blair on Tesla Investors should note that Jed Dorsheimer of William Blair is not the only Wall Street analyst that recommends treading with caution on Tesla stock. According to Barchart, the consensus rating on TSLA shares currently sits at 'Hold' only with the mean target of about $298 indicating potential downside of about 8% from current levels. On the date of publication, Wajeeh Khan did not have (either directly or indirectly) positions in any of the securities mentioned in this article. All information and data in this article is solely for informational purposes. This article was originally published on Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
TechCrunch
28-07-2025
- Automotive
- TechCrunch
Tesla signs $16.5B deal with Samsung to make AI chips
Tesla has signed a $16.5 billion deal to get its next-generation chips from Samsung. 'Samsung's giant new Texas fab will be dedicated to making Tesla's next-generation AI6 chip,' Elon Musk posted on X late Sunday evening. 'The strategic importance of this is hard to overstate.' Tesla's AI6 (AKA Hardware 6) chip is the company's bet on an all-in-one chip design that can scale from powering its driver assistance system known as Full Self-Driving (Supervised) to Tesla's Optimus humanoid robots, all the way to high-performance AI training in data centers. Musk noted Tesla is working with TSMC to make AI5 chips, which just finished the design. The A15, a generation that is primarily built for FSD. will initially be made in TSMC's Taiwan factory and then at its Arizona facility. Samsung already makes the A14 chip, according to Musk. The deal is a boost for Samsung, which struggled to get its chip-making project off the ground after failing to attract and retain major clients. Musk said in another post that Tesla may end up spending more than $16.5 billion on Samsung chips. 'Actual output is likely to be several times higher,' he said. In a later post, Musk said Samsung agreed to allow Tesla to assist in maximizing manufacturing efficiency. Techcrunch event Tech and VC heavyweights join the Disrupt 2025 agenda Netflix, ElevenLabs, Wayve, Sequoia Capital — just a few of the heavy hitters joining the Disrupt 2025 agenda. They're here to deliver the insights that fuel startup growth and sharpen your edge. Don't miss the 20th anniversary of TechCrunch Disrupt, and a chance to learn from the top voices in tech — grab your ticket now and save up to $675 before prices rise. Tech and VC heavyweights join the Disrupt 2025 agenda Netflix, ElevenLabs, Wayve, Sequoia Capital — just a few of the heavy hitters joining the Disrupt 2025 agenda. They're here to deliver the insights that fuel startup growth and sharpen your edge. Don't miss the 20th anniversary of TechCrunch Disrupt, and a chance to learn from the top voices in tech — grab your ticket now and save up to $675 before prices rise. San Francisco | REGISTER NOW 'This is a critical point, as I will walk the line personally to accelerate the pace of progress. And the fab is conveniently located not far from my house,' Musk wrote.
CNA
28-07-2025
- Automotive
- CNA
Musk says Tesla, Samsung Electronics sign $16.5 billion chip supply deal
SEOUL : Tesla CEO Elon Musk said the U.S. automaker had signed a $16.5 billion deal to source chips from Samsung Electronics, a move expected to bolster the South Korean tech giant's loss-making contract manufacturing business. Samsung shares rose more than 4 per cent after the news. "Samsung's giant new Texas fab will be dedicated to making Tesla's next-generation AI6 chip. The strategic importance of this is hard to overstate," Musk said in a post on X on Monday. If Musk was referring to Samsung's upcoming Taylor, Texas, plant, the deal could revive the project that has faced delays amid Samsung's struggles to retain and win major customers. "Samsung agreed to allow Tesla to assist in maximizing manufacturing efficiency. This is a critical point, as I will walk the line personally to accelerate the pace of progress. And the fab is conveniently located not far from my house," Musk said on his social media platform. Samsung had earlier announced the $16.5 billion chip supply deal without naming the client, saying the customer had requested confidentiality about the details of the deal, which will run through the end of 2033. Three sources briefed about the matter told Reuters that Tesla was the customer for the deal. The deal comes as Samsung faces mounting pressure in the race to produce artificial intelligence chips, where it trails rivals such as TSMC and SK Hynix. This lag has weighed heavily on its profits and share price. Samsung, the world's top memory chip maker, also makes logic chips designed by customers through its foundry business. Pak Yuak, an analyst at Kiwoom Securities, said the latest deal would help reduce losses at Samsung's foundry business, which he estimated exceeded 5 trillion won ($3.63 billion) in the first half of the year. Analysts say Samsung has struggled with the defection of key clients to TSMC for advanced chips. TSMC counts Apple, Nvidia and Qualcomm among its customers. The Samsung-Tesla deal may also be significant for South Korea, which is seeking U.S. partnerships in chips and shipbuilding amid last-ditch efforts to reach a trade deal to eliminate or reduce potential 25 per cent U.S. tariffs. Samsung is grappling to boost production yields of its latest 2-nanometer technology, but the order is unlikely to involve the cutting-edge tech, said Lee Min-hee, an analyst at BNK Investment & Securities. Samsung has been losing market share to TSMC in contract manufacturing, underscoring technological challenges the firm faces in mastering advanced chip manufacturing to attract clients like Apple and Nvidia, analysts said.
