Tesla CEO Elon Musk announced the company completed the design phase for its next-generation AI5 self-driving chip. The hardware reached the taped out stage, making it ready for production partners Samsung and Taiwan Semiconductor Manufacturing Company.
The AI5 chip will power future autonomous driving systems and eventually replace current AI4 hardware. High-volume production for the new silicon is scheduled to begin around 2027.
This development advances Tesla's strategy of vertical integration and in-house technology development. Tesla shares rose approximately 0.66% in pre-market trading following the announcement.