Dell and Super Micro will jointly build a computing center for Musk xAI
Dell CEO Michael Dell stated that the company is working with Nvidia to build a "Dell Artificial Intelligence Factory" for Musk's Artificial Intelligence (AI) startup (xAI). Meanwhile, Musk replied that Super Micro will also provide servers.
Michael Dell announced the matter in a post on an online platform on June 19th, with Musk commenting.
Dell spokesperson stated in an email that xAI will use Dell's XE 9680 servers in large data centers, and stated, "Our scale, scale, and breadth of solutions enable us to handle such large-scale projects well." Dell added that its graphics processor (GPU) cluster size enables faster training of AI large models.
The representative of Super Micro did not immediately respond to the request for comment.
Currently, Dell and Super Micro are both increasing server capacity to win more business from Hope AI companies. Earlier this week, Super Micro announced plans to add three new facilities in Silicon Valley to support AI development. Dell announced in May this year that its server revenue for AI tasks in the first quarter of 2024 doubled compared to the previous quarter, and its backlog of orders also rapidly increased.
Overseas analysts predict that Dell's servers are likely to account for half of the total number of xAI servers, with the rest provided by Super Micro. If Musk deploys the Grok 3 models and requires 100000 Nvidia H100 GPUs, assuming each AI server rack is priced at $1 million, the total value of the xAI server project may be as high as $3 billion.
Musk founded the AI startup xAI in July 2023 to address ChatGPT under OpenAI. XAI launched the Grok model in November 2023 and received $6 billion in funding in May 2024. Currently, the company is valued at $18 billion.
Dell spokesperson stated in an email that xAI will use Dell's XE 9680 servers in large data centers, and stated, "Our scale, scale, and breadth of solutions enable us to handle such large-scale projects well." Dell added that its graphics processor (GPU) cluster size enables faster training of AI large models.
The representative of Super Micro did not immediately respond to the request for comment.
Currently, Dell and Super Micro are both increasing server capacity to win more business from Hope AI companies. Earlier this week, Super Micro announced plans to add three new facilities in Silicon Valley to support AI development. Dell announced in May this year that its server revenue for AI tasks in the first quarter of 2024 doubled compared to the previous quarter, and its backlog of orders also rapidly increased.
Overseas analysts predict that Dell's servers are likely to account for half of the total number of xAI servers, with the rest provided by Super Micro. If Musk deploys the Grok 3 models and requires 100000 Nvidia H100 GPUs, assuming each AI server rack is priced at $1 million, the total value of the xAI server project may be as high as $3 billion.
Musk founded the AI startup xAI in July 2023 to address ChatGPT under OpenAI. XAI launched the Grok model in November 2023 and received $6 billion in funding in May 2024. Currently, the company is valued at $18 billion.