On August 8, reports emerged that Tesla is disbanding its Dojo supercomputing team, with project leader Peter Bannon set to depart. The decision, reportedly made by Elon Musk himself, marks the conclusion of Tesla's in-house efforts to develop autonomous driving chips. Approximately 20 team members have recently joined DensityAI, while the rest will be redeployed to other data center and computing initiatives. Moving forward, Tesla intends to lean more heavily on external technology partners, including NVIDIA and AMD for computing power, and Samsung for chip manufacturing services.

The Dojo project, years in the making, has been pivotal to Tesla's AI strategy. It aimed to harness an independently designed supercomputing system to train machine learning models for autonomous driving, Full Self-Driving (FSD), and the Optimus robot. This shift indicates a strategic realignment for Tesla, prioritizing collaborations over internal development in this particular domain.