Dell Applied sciences (Dell) is finalising a deal price over USD 5 billion to produce Elon Musk’s AI startup, xAI, with servers optimised for synthetic intelligence (AI) workloads. Dell is predicted to ship servers geared up with Nvidia’s GB200 semiconductors to xAI this 12 months, Bloomberg Information reported on February 15, 2025, citing sources.
Additionally Learn: xAI Raises USD 6 Billion in Collection C Funding
AI Chips to Energy xAI’s Enlargement
Some particulars are nonetheless being mentioned and will change, the report added.
The deal aligns with xAI’s growth of its Memphis-based Colossus supercomputer, which goals to scale from 100,000 to over a million GPUs. Nvidia, Dell, and Tremendous Micro are anticipated to determine operations in Memphis to assist this development.
Additionally Learn: HPE Secures USD 1 Billion AI Server Cope with X: Report
Demand for AI Infrastructure
The surge in demand for AI infrastructure has pushed main investments, with Hewlett Packard Enterprise not too long ago securing a USD 1 billion deal to produce AI servers for Musk’s social media platform, X. Dell and different AI {hardware} suppliers proceed to profit from this development as corporations race to construct high-performance computing methods.
