Tesla (TSLA) has decided to restart work on its Dojo 3 supercomputer after progress on the AI5 chip helped clear earlier development hurdles. On Sunday, Elon Musk confirmed the news in a social media post, noting that Tesla is also recruiting new roles to support the project. Progress on the AI5 chip indicates that Tesla now has a clearer path to building a high-volume AI chip, supporting its long-term goals of developing self-driving and humanoid robots. Meanwhile, the move also reflects the company’s intent to reduce reliance on external GPU suppliers, control costs, and customize hardware for its own AI workloads.
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Dojo 3 is Tesla’s in-house AI supercomputer, designed to train massive neural networks using the company’s own AI5 chips. It’s faster, cheaper, and more under Tesla’s control. For investors, the move raises fresh questions about Tesla’s AI roadmap, capital spending priorities, and how Dojo fits into the company’s broader strategy.
Tesla Brings Back Dojo 3
The announcement comes just months after Tesla shut down the original Dojo supercomputer and disbanded the team behind it. Musk had described the second generation as an “evolutionary dead end.” Musk’s comments on Sunday suggest he may be leaning toward developing Dojo 3 using Tesla’s in-house chips, specifically the long-awaited AI5, which he has described as a major upgrade over the company’s current hardware.
Currently, Tesla operates a mix of its own chips and NVIDIA (NVDA) hardware across its computing clusters. In 2025, the company also signed a deal with Samsung (SSNLF) to manufacture Tesla’s next-generation AI6 chip. Samsung already produces the AI4 and AI5 microchips for Tesla.
Dojo 3 Supports Tesla’s Long-Term AI Strategy
Despite softer EV performance, Tesla’s investors remain confident in Tesla’s future products, including its Cybercab robotaxi platform and the humanoid robot Optimus. Recent stock gains also reflect growing optimism around these long-term ambitions, helping shift attention away from weakness in Tesla’s core EV business.
Against this backdrop, Dojo 3 plays a key role in Tesla’s long-term AI strategy. The supercomputer is designed to train Tesla’s self-driving and robotics systems more efficiently using the company’s own AI chips. As investors closely track Tesla’s AI initiatives, projects like Dojo 3 and the AI5 chip highlight Tesla’s push to build in-house AI infrastructure, that could strengthen its competitive edge in autonomy over time.
Are Tesla Shares a Good Buy?
According to TipRanks, TSLA stock has received a Hold consensus rating, with 12 Buys, 11 Holds, and seven Sells assigned in the last three months. The average Tesla stock price target is $397.47, suggesting a potential downside of 9.15% from the current level.
