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Tesla, AMD May Be Teaming Up to Build Autopilot Chip for Cars

Tesla, AMD May Be Teaming Up to Build Autopilot Chip for Cars

Further, according to a source told the CNBC, Tesla already received back samples of its processors of its first implementation and lately is running tests on it.

This allows the electric vehicle company to "create a technology that can do precisely what it wants to achieve", the website says, such as "true autonomous driving".

A more power-efficient purpose-built chip could help Tesla get closer to delivering totally autonomous driving. But the company is also always iterating on its hardware, eschewing the traditional model year upgrades of legacy automakers. One notable exception is Junli Gu, who mainly worked on deep-learning software for four years at AMD before leaving to build "and lead the machine-learning team at Tesla Autopilot", according to her online bio.

Analysts had a bullish reaction to Tesla working with Advanced Micro Devices (NASDAQ:AMD) to build a self-driving vehicle chip but reaffirm the previous ratings and price targets.

"The Tesla/AMD move has disruptive implications to the multi-billion self-driving market", said Rosenblatt Securities in a note entitled "Tesla AI Move With AMD - Game Changer". While the partnership is certainly good news for AMD investors, shares of Nvidia Corporation, which also has a partnership with Tesla, were seen down more than 2 percent Thursday morning. Most recently, its supplier Mobileye didn't renew the contract with Tesla in the aftermath of the death of a Model S owner - autopilot was activated on that auto.

Global Foundries is not saying that it's working with Tesla-but that's not to say that AMD isn't working with Tesla.

After hiring Andrej Karpathy as its new head of AI and Autopilot Vision, earlier this year, auto maker Tesla hopes to make a mark in the autonomous vehicle market and compete with the likes of Google and Samsung. The news comes not long after Tesla's vice president of Autopilot autonomous driving technology - Apple veteran Chris Lattner - departed in June.

At present, Tesla's Autopilot system relies on Nvidia GPUs.

Tesla or AMD have not commented on the rumors.



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