Dell, Nvidia, SMC Power Musk’s Grok AI Factory Initiative

Mark Eisenberg
Photo: Finoracle.net

Dell, Nvidia, and SMC Join Forces to Power Musk’s Grok AI Factory

Dell Technologies Inc, led by CEO Michael Dell, has announced an exciting partnership with NVIDIA Corporation to build an AI Factory. This factory will enhance the abilities of Grok, an AI model developed by Elon Musk’s company, xAI.

What is Grok?

Grok is a generative AI chatbot, created as a response to the popularity of ChatGPT, a product from OpenAI, which Musk also co-founded. Grok is based on a large language model. It can handle a wide range of visual data, like documents, diagrams, charts, screenshots, and photographs, along with its strong text processing features.

Grok’s Capabilities

The first-generation model, Grok-1.5V, was launched in April. This model can understand the physical world better than its competitors, as seen in the RealWorldQA benchmark. This benchmark measures how well AI understands real-world spatial information, and Grok is reportedly topping the charts.

Dell’s Role

Dell is setting up half of the racks that will go into this supercomputer for xAI. This means Dell’s technology will be crucial in the physical assembly of this powerful machine.

Another Collaborator: SMC

When asked about another partner, Musk mentioned "SMC", which stands for Super Micro Computer Inc. This San Francisco-based company is famous for its relationships with chip companies like Nvidia and for its innovative liquid-cooling technology.

The Gigafactory of Compute

Back in June, xAI shared its plans to build a supercomputer called the "Gigafactory of Compute". This supercomputer is expected to be ready by the fall of 2025. The project involves a collaboration with Oracle and aims to boost Grok’s capabilities significantly.

Utilizing Nvidia’s GPUs

The supercomputer will use up to 100,000 Nvidia H100 GPUs based on the Hopper architecture. This setup could make it four times larger than the largest existing GPU clusters. Musk’s goal is to surpass the capabilities of rival GPU clusters.

Stay tuned to see how this powerful partnership between Dell, Nvidia, and SMC transforms the AI landscape and propels Elon Musk's xAI forward.


By making the technological advancements of Grok and the power behind its creation accessible to everyone, this collaboration marks a significant step in the AI industry.

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Mark Eisenberg is a financial analyst and writer with over 15 years of experience in the finance industry. A graduate of the Wharton School of the University of Pennsylvania, Mark specializes in investment strategies, market analysis, and personal finance. His work has been featured in prominent publications like The Wall Street Journal, Bloomberg, and Forbes. Mark’s articles are known for their in-depth research, clear presentation, and actionable insights, making them highly valuable to readers seeking reliable financial advice. He stays updated on the latest trends and developments in the financial sector, regularly attending industry conferences and seminars. With a reputation for expertise, authoritativeness, and trustworthiness, Mark Eisenberg continues to contribute high-quality content that helps individuals and businesses make informed financial decisions.​⬤