Musk noted Tesla is working with TSMC to make AI5 chips, which just finished the design. The AI5, a generation that is primarily built for FSD, will initially be made in TSMC’s Taiwan factory and then at its Arizona facility. Samsung already makes the AI4 chip, according to Musk.

Elon Musk has been rebranding Tesla as an AI and robotics company for over a year. Tesla's latest deal could easily be misunderstood as a blow to Nvidia, especially by people who know that Tesla does business with Nvidia.