Tesla Motors is going to reportedly replace Nvidia’s processing modules with new ones from Intel for its infotainment systems.
The Tesla Model 3, as well as the new versions of the Model S and Model X, will feature the new Intel chip, according to inside sources with knowledge of the matter, Bloomberg reports.
With modern cars relying more and more heavily on electronics, the automotive industry is increasingly important for chipmakers; Nvidia saw its stock price surging more than sixfold in the last two years, partly because of its business with auto makers.
Intel, the world’s biggest chipmaker, also wants a piece of the action as it looks to lower its dependence on personal computers and start supplying more of its chipsets to car makers.
The main goal for the chip companies is of course to provide the hardware that allows cars to become fully autonomous. Tesla might be one of the smallest car companies in the market, having sold just over 76,000 vehicles in its last financial year, but the EV company’s position at the forefront of new technologies makes them one of the most attractive partners to work with.