Why is Tesla CEO Elon Musk betting big on supercomputers and will it pay off?

Elon Musk is looking towards supercomputers in order to power up his business empire spanning multiple industries with AI. The tech billionaire plans on investing $500 million to set up a supercomputer in New York, besides building another supercomputer cluster called Cortex at the headquarters of electric carmaker Tesla in Texas, US.

Additionally, Musk’s startup xAI announced in June that its AI model Grok will be trained by a supercomputer called Colossus that has been established in Tennessee, US, with a portion of it already online.