Tesla is dissolving its Dojo supercomputer team, as it looks to use Nvidia, AMD, and Samsung chips.

The company's Dojo head, Peter Bannon, has left the company, while CEO Elon Musk has ordered the program to be shut down, Bloomberg reports.

Around 20 employees on the team recently left for DensityAI, a newly formed startup headed by Ganesh Venkataramanan, who previously oversaw the Dojo supercomputer and D1 chip before leaving in 2023. DensityAI plans to develop its own data center chips.

Remaining Dojo workers will be reassigned to other data center and compute projects within Tesla.

The Dojo supercomputer and D1 chip are a custom-built system for processing videos from Tesla cars and training its autonomous fleet ambitions. It was also set to be used for the company's Optimus humanoid robot.

In 2023, Morgan Stanley optimistically claimed that "Dojo can add up to $500 billion to Tesla's enterprise value, expressed through a faster adoption rate in Mobility (robotaxi) and Network Services (SaaS)."

At the time, Tesla was also deploying tens of thousands of Nvidia GPUs in its data centers. By the end of 2024, it deployed a 50,000 Nvidia H100 GPU training cluster known as Cortex.

Last month, the company announced a $16.5 billion deal with Samsung for its AI6 chip, to be used in the cars and robots themselves.

Following the report, Tesla CEO, Elon Musk, wrote on his social media platform, X: " It doesn’t make sense for Tesla to divide its resources and scale two quite different AI chip designs. The Tesla AI5, AI6 and subsequent chips will be excellent for inference and at least pretty good for training. All effort is focused on that."