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Writer's pictureSarah Ruivivar

Elon Musk Denies Tesla-xAI Licensing Rumours

Updated: Sep 16

📸 ModelProp / Midjourney

Elon Musk has put the brakes on rumours that Tesla plans to license AI models from his startup, xAI.


The Wall Street Journal recently claimed that Tesla might share revenue with xAI to use its AI models in Tesla’s Full Self-Driving (FSD) software. The report also suggested xAI would help develop a voice assistant for Tesla vehicles and software for Tesla’s humanoid robot, Optimus.


Musk took to his social media platform X (formerly Twitter) to debunk the story. He stated, “Tesla has learned a lot from discussions with engineers at xAI that have helped accelerate achieving unsupervised FSD, but there is no need to license anything from xAI.” According to Musk, xAI’s models are too large and complex to run on Tesla’s vehicle inference computers.


 

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Founded as a rival to OpenAI, xAI aims to leverage data from Musk’s various ventures, including Tesla, SpaceX, and Neuralink, to enhance its AI models. Earlier this year, TechCrunch reported that xAI had outlined a vision for its $6 billion funding round, which included using data from Musk’s companies to improve technology across those enterprises.


However, not everyone is thrilled about Musk’s new venture. Tesla shareholders have sued him, alleging that he has diverted talent and resources from Tesla to xAI, which they argue is essentially a competing company.


While the future of Tesla and xAI’s collaboration remains uncertain, one thing is clear: Musk is not ready to license xAI models for Tesla’s FSD software anytime soon. Stay tuned for more updates from the ever-evolving world of Elon Musk and his myriad of groundbreaking ventures!



 

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