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Tesla Shuts Down Dojo AI Supercomputer, Signaling a Strategic Pivot

Tesla AI Dojo Supercomputer Robotaxi FSD Neural Networks Elon Musk TechCrunch
September 02, 2025
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Strategic Reset
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Article Summary

Tesla’s decision to shutter the Dojo project, announced in August 2025, marks a significant reversal in the company’s ambitious strategy to develop a custom AI supercomputer for training its Full Self-Driving (FSD) neural networks. Originally conceived as the cornerstone of Tesla’s AI ambitions – including robotaxis and the Optimus humanoid robot – Dojo represented a substantial investment, culminating in a team of around 20 researchers and engineers. The reasoning behind the shutdown stems from a shift toward leveraging external chip technology, specifically Samsung’s AI6 chip, which Tesla is now pursuing as its primary AI training platform. Musk’s justification, shared on X, indicates that Dojo 2 became an "evolutionary dead end" as the company’s AI strategy converged with the AI6 chip, reducing the need for a bespoke supercomputer. The shutdown also involved letting go of key personnel, including Dojo’s lead, Peter Bannon, who now heads DensityAI. This move reflects a more streamlined approach, emphasizing partnership and leveraging existing technological advancements rather than pursuing independent hardware development. While Dojo’s failure highlights the challenges of achieving full self-driving through brute-force data collection, it ultimately points to a pragmatic adjustment in Tesla's AI strategy.

Key Points

  • Tesla has abandoned its six-year-old Dojo AI supercomputer project, driven by a strategic shift towards relying on external chip technology.
  • The shutdown reflects a move to leverage Samsung’s AI6 chip for AI training, signaling a convergence of Tesla’s AI strategy with a commercially available solution.
  • Key personnel, including Dojo’s lead Peter Bannon, have departed to form DensityAI, indicating a significant restructuring within Tesla’s AI team.

Why It Matters

The closure of Dojo represents a critical turning point in Tesla’s ambitious pursuit of full self-driving. It highlights the immense technical and economic challenges inherent in relying solely on data collection and internal hardware development. The pivot towards Samsung’s AI6 chip suggests a recognition that Tesla needs to embrace external innovation to accelerate its AI progress. This decision has broader implications for the autonomous vehicle industry, demonstrating that even a company like Tesla, with its vast resources and Musk’s visionary approach, needs to adapt its strategy and recognize the value of partnerships and leveraging established technologies. Ultimately, it raises questions about whether Tesla’s original approach – heavily reliant on Dojo – was ultimately flawed, and whether relying on external technology will ultimately prove more effective.

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