TLDR: Elon Musk has provided an optimistic update on Tesla’s artificial intelligence (AI) chip roadmap, confirming the completion of the AI5 chip design review and outlining plans for subsequent generations, AI6, AI7, and the ‘out of this world’ AI8. The AI5 chip, critical for self-driving and robotics, will be co-produced by Samsung and TSMC to strengthen the US supply chain, with a focus on achieving an oversupply for both vehicles, Optimus robots, and Tesla’s data centers. Musk emphasized Tesla’s leadership in ‘real-world AI’ and the transformative potential of its humanoid robot, Optimus.
Tesla CEO Elon Musk recently shared an ambitious update on the company’s artificial intelligence (AI) chip development, highlighting significant progress with the upcoming AI5 processor and revealing plans for a rapid succession of future hardware. The announcement, made on November 2, 2025, via his social media platform X (formerly Twitter) and during Tesla’s Q3 2025 earnings call, underscores Tesla’s aggressive push into advanced AI hardware.
Musk confirmed that Tesla has completed the design review for its AI5 chip, a crucial component for the company’s self-driving capabilities and Optimus humanoid robots. He stated that the AI5 is projected to be ’40 times better than the AI4 chip by some metrics’ and will deliver ‘the best performance per watt, maybe by a factor of two or three, and best performance per dollar for AI, maybe by a factor of 10.’
To ensure a robust supply chain, the AI5 chip will be produced by both Samsung in Texas and TSMC in Arizona. This dual-sourcing strategy aims to bolster Tesla’s US-based chip manufacturing capabilities. Musk also noted that the next-generation AI6 chip is slated for production by Samsung. The company’s primary goal is to ‘have an oversupply of AI5 chips,’ with any surplus units not utilized in Tesla vehicles or Optimus robots to be deployed in Tesla’s own data centers.
Looking beyond AI5, Musk revealed that AI6 and AI7 chips are expected to follow in fast succession, with AI8 described as ‘out of this world.’ He praised Tesla’s in-house design team, stating that their ability to optimize performance for a single customer – Tesla itself – ‘makes the design job radically easier.’
During the Q3 2025 earnings call, Musk declared that Tesla is ‘at a critical inflection point’ and is ‘the leader in real-world AI,’ asserting that ‘No one can do what we can do with real-world AI.’ He envisioned a dramatic scaling of Optimus production, projecting ‘a million units… then 10 million units… maybe 50 to 100 million units,’ and famously dubbed the humanoid robot ‘the infinite money glitch,’ suggesting that if Optimus achieves five times the productivity of a person per year, ‘working will be optional.’
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This strategic focus on inference chips, designed to run AI models and make real-time decisions, comes amidst a streamlining of Tesla’s AI chip design work. Earlier reports indicated a restructuring of the Dojo supercomputer team, with efforts now concentrated on developing chips that excel in both inference and training. Musk also reiterated his governance concerns, stating, ‘I just don’t feel comfortable building a robot army here and then being ousted because of some asinine recommendations from ISS and Glass Lewis who have no freaking clue.’
