Musk praises the new AI chip development achievements, Tesla's stock price rises

Tesla CEO Elon Musk stated that the electric vehicle manufacturer plans to expand its development of artificial intelligence (AI) chips. Tesla's stock price rose by as much as 7% to $418.13, potentially marking its largest single-day gain since September 12. Musk said on his X platform last Sunday, "Most people don't know that Tesla has had an advanced AI chip and circuit board engineering team for many years." He added, "The current version in the cars is AI4, and we are about to launch AI5 and begin developing AI6. Our goal is to mass-produce a new AI chip design every 12 months. We expect the total number of chips manufactured to exceed the sum of all other AI chips." Tesla's AI director Ashok Elluswamy confirmed Musk's statement. The average rating for Tesla from 55 analysts is "Hold," with a median price target of $410. Compared to the Nasdaq Composite Index's 18.1% increase, Tesla has risen 3.7% year-to-date