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Elon is basically making it clear that physical AI is a compute problem & $TSLA intends to own the silicon that solves it.
The company already has millions of its own AI chips deployed in cars & data centers, it is on the 4th generation in production, AI5 is about to tape out & AI6 is already underway. It would be wild if they really hit annual chip refresh cycles & ship more AI silicon into the real world than every other player combined.
Because at that point Tesla becomes the only company with a closed-loop system for physical AI where the fleet generates the data, the models are trained on their own stack & the inference runs on silicon they designed themselves.
That is the advantage nobody else has.

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