Tesla is reportedly set to utilize a data center in China to train its self-driving algorithm as part of its ongoing development of fully autonomous electric vehicles. The company intends to shift some of its data processing to the Chinese region and is planning to establish a data center shortly after receiving approval for its Full Self-Driving (FSD) suite in China.
According to Reuters, which cited two individuals familiar with the matter, Tesla will collaborate with a Chinese partner to establish the data center for enhancing the operation of its FSD suite. The company has reportedly engaged in discussions with Nvidia regarding the purchase of graphic processing units for the potential Chinese data processing center.
The feasibility of a Chinese data center became more apparent after Tesla CEO Elon Musk met with Premier Li Qiang in China. This meeting not only facilitated Tesla’s tentative approval for the FSD suite in the country but also highlighted the bullish stance on the development of semi-autonomous driving technology.
Yale Zhang, Managing Director at Automotive Foresight, a Shanghai-based consultancy firm, noted the significance of China in Tesla’s production scale-up for electric vehicles (EVs) through the Shanghai factory. Zhang suggested that China would play a crucial role in scaling up the mass adoption of autonomous driving technologies for Tesla.
While Tesla’s move to utilize a Chinese data center aligns with other automakers’ data storage practices in China, which include Hyundai, Volkswagen, Toyota, Nissan, and Mazda, it stands out as a unique approach specifically focused on AI system training.
