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Musk's artificial intelligence startup xAI terminates negotiations with Oracle to expand chip rental agreements

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Musk's artificial intelligence startup xAI has terminated negotiations with Oracle to expand its chip rental agreement. On July 9th local time, Musk confirmed that artificial intelligence startup xAI has ended negotiations with Oracle to expand its existing agreement and lease Nvidia chips. Musk said that xAI is building a supercomputer with 100000 Nvidia graphics processing units, which are used to train and operate generative AI programs. "Our fundamental competitiveness depends on being faster than any other artificial intelligence company.". Musk also revealed that xAI's Grok 2 model was trained on 24000 Nvidia H100 chips from Oracle and may be ready for release next month.
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