According to The Information, Elon Musk's AI startup xAI plans to buy chips from Nvidia instead of leasing them from Oracle to speed up the establishment of artificial intelligence data centers. xAI plans to build a system using 100,000 Nvidia H100 chips in Memphis, Tennessee.
It was previously reported that xAI had considered leasing chips from Oracle, but currently they have leased 24,000 chips from Oracle under an existing agreement.