Tesla Ends Dojo, Signs $16.5B Samsung AI Chip Deal

Tesla has shut down its Dojo supercomputer project and disbanded its in-house chip development team, signaling a major shift in its AI and autonomous driving strategy. The project lead, Peter Bannon, is leaving the company along with about 20 team members who are joining the new AI startup DensityAI, founded by former Tesla executives. Dojo, once seen as a potential $500 billion value driver for Tesla, is no longer central to the company's AI ambitions. Remaining team members will be reassigned to other computing roles at Tesla. The company is now focusing on external partners like Nvidia, AMD, and Samsung, with a recent $16.5 billion deal for Samsung to supply AI chips for Tesla vehicles and robots. These changes come amid executive departures and restructuring, casting uncertainty on Tesla's future AI and robotics strategy.