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Elon Musk Gambles Billions in Memphis to Catch Up on AI

Organic_Vacation_267 | 2025-10-06 04:25 | 73 views

xAI aims to win tech arms race with ‘Colossus’ data centers, thrown up at lightning speed; city divided over massive power and water demands By Alexander Saeedy | Photography and Video by Kevin Wurm for WSJ

Comments (34)
RipWhenDamageTaken 2025-10-06 06:39

It’s so funny that Tesla rejected Waymo’s approach of LiDAR because of hardware costs, and now they turn around and spend a shit ton of money on hardware. LiDAR costs keep going down, while AI cost has no way down to go. How much compute do you need to compensate for the lack of LiDAR?

Retox86 2025-10-06 09:08

Heck, maybe cheaper to hire workers to drive the cars, they can also clean it and help unload and load bagage, instead of ”robot-taxi” they can just call it ”taxi”.

[deleted] 2025-10-06 09:38

What is with people posting paywalled crap on Reddit? Either post an unredacted copy or don't post at all. I've just hopped through 5 different paywall removers all to no avail.

KeyboardGunner 2025-10-06 11:12

Paywall... Edit: Found a non-paywall [source](https://www.msn.com/en-us/money/companies/elon-musk-gambles-billions-in-memphis-to-catch-up-on-ai/ar-AA1NUMUo?ocid=BingNewsBrowse)

KeyboardGunner 2025-10-06 12:07

I got you, [link](https://www.msn.com/en-us/money/companies/elon-musk-gambles-billions-in-memphis-to-catch-up-on-ai/ar-AA1NUMUo?ocid=BingNewsBrowse)

MUCHO2000 2025-10-06 12:30

With respect do you understand that major hardware is in every Waymo? The idea is that at some point they will be able to scale down the processing power via optimization and customized CPUs/GPUs. LiDAR is a drop in the bucket by comparison.

ComicsEtAl 2025-10-06 12:33

Him and his ketamine-fueled profundity are the main reasons they won’t catch up.

Ultraeasymoney 2025-10-06 12:33

They can call that service UberX.

NtheLegend 2025-10-06 13:39

To that end, what’s the point of AI if the end device doesn’t have enough sensory input to begin with?

y4udothistome 2025-10-06 13:46

Does Tesla on Xai ? If not why is it posted on a Tesla sub

Key-Beginning-2201 2025-10-06 14:17

I love how submissive the people of Tennessee are. Polluting AND higher utility bills? LMAO Tennessee.

palopp 2025-10-06 15:17

Catch up?? I thought that because of Musk’s undisputed genius and mastery of any technology that he put his nose into that Tesla was at the forefront of AI technology and the others were working frenetically to not fall too far behind Tesla’s leaps in technology.

RipWhenDamageTaken 2025-10-06 16:26

I agree that LiDAR cost is a drop in the bucket compared to compute costs. I’m not sure what you’re saying though.

banditcleaner2 2025-10-06 16:40

"Can't hear you, line go up" \-TSLA shareholders, probably (for now)

apachevoyeur 2025-10-06 17:02

slide in "Comfort Electric" as the cherry on top

MUCHO2000 2025-10-06 20:05

I'm saying that every Waymo car has an extremely sophisticated and expensive computer that handles the driving second to second. The cost of said computer far exceeds the cost of the LiDAR. As they are on their sixth generation the cost of said computer has come down significantly but Waymo doesn't disclose these details. Some estimates put the first computer costs at over 150k back in 2010 and down to 35k now. Either way the cost of the on board computer greatly exceeds the cost of the LiDAR

RipWhenDamageTaken 2025-10-06 20:16

You literally said “scale down the processing power via optimization and customized CPUs/GPUs” so idk what your point is. Are you claiming that optimization *somehow* only applies for companies named Tesla? The future reduction of compute costs *somehow* only benefits Tesla? Not sure what your point is. Also, Tesla publicly claimed that LiDAR is the reason, not whatever you’re claiming the costs for Waymo is.

Bravadette 2025-10-06 20:19

I think at this point, Tesla is going to need to start investing in quantum tech to maintain relevance. That would actually be hilarious to see.

MUCHO2000 2025-10-06 20:28

I don't know what is so hard to understand. I'm not pro Tesla or against Waymo I am explaining that Waymo has what amounts to a super computer in every car. It's a very expensive computer and far exceeds the cost of the LiDAR. That over time through optimization with both the hardware and the processing they have been able to bring the cost of said computer down significantly but the cost problem for Waymo was and still is in the computer. The idea is that this optimization will continue and reduce the cost just as they have been able to also reduce the cost of LiDAR. I'm not a fan of Tesla FSD. I'm just explaining you sound like a dip shit when talking about the cost of LiDAR when the real cost for WAYMO is and always has been in the super computer that controls the second to second driving. Who cares what Tesla says? Elon is and always has been full of shit making and not delivering on promise after promise. If you don't understand me having said the same thing three times in slightly different ways I guess I'm either a terrible communicator or you're just slow. Goodbye

RipWhenDamageTaken 2025-10-06 20:43

“You sound like a dipshit” lmfao opinion discarded

Fockelot 2025-10-06 20:52

It’s even worse than that if they have Dominion Power. Dominion is foisting that fee onto the consumers with tacked on additional fees and jacking up the rate charges. It’s like 4 entire states of people with no other electrical utility company options that is being forced to crowd fund their maintenance and expansion for a for profit utility company, being stressed out by for profit billion dollar companies, but fuck us as the consumers right?

MUCHO2000 2025-10-06 21:10

I'm not sure what you're saying.

s0ngsforthedeaf 2025-10-06 21:13

Look at the more perfect union videos on the tesla data centres

watabagal 2025-10-06 22:27

But cost per vehicle!!!

Texas_Sam2002 2025-10-07 01:20

Maybe Elon would be farther along with AI if he didn’t spaz out and lobotomize Grok every time it tells the truth.

bindermichi 2025-10-07 06:28

Elvis has a casino?

sailriteultrafeed 2025-10-07 09:58

I really want to buy my own waymo.

longebane 2025-10-07 14:08

Their gamble has nothing to do with their cars. In fact, it’s a pivot away from their cars, which Elon knows is a failing business.

OraxisOnaris1 2025-10-07 19:52

When you decided to call them slow is the exact point when everyone disregarded your arguments.

OraxisOnaris1 2025-10-07 19:55

Musk's companies are so hopelessly entangled it's very hard to distinguish one from the other. He redirects employees from one company to another, breaching his fiduciary duty. And remember those GPUs redirected from Tesla to X/xAI?

MUCHO2000 2025-10-07 20:02

Totally dude. I don't care how wrong I am as long as no one calls me mean names. That about right genius?

Xollector 2025-10-08 09:08

Rob-a-taxi

Normal-Selection1537 2025-10-09 15:04

LiDAR prices have gone from tens of thousands to couple hundred in ten years.

jeramyfromthefuture 2025-10-09 19:37

using an llm to drive a car is a non starter it’s like a toaster being used to heat milk

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