Tesla likely to spend $3 billion-$4 billion on Nvidia hardware this year

An Nvidia Blackwell GPU is displayed at COMPUTEX in Taipei, Taiwan June 4, 2024. REUTERS/Ann Wang

(Reuters) -Tesla will likely spend between $3 billion and $4 billion on its purchases of chip company Nvidia's hardware this year, CEO Elon Musk said in a post on X on Tuesday.

Musk also said that out of the $10 billion in artificial intelligence-related capital expenditure this year, around half would be internal spend.