HPE wins $1 billion AI server deal with Musk’s X

Elon Musk’s platform X partners with HPE for advanced AI server solutions.
HP plans to cut thousands of jobs by 2028 as AI integration accelerates and cost-saving measures aim to deliver $1 billion in efficiencies.

Hewlett Packard Enterprise (HPE) has secured a deal worth over $1 billion to supply AI-optimised servers to Elon Musk’s platform X. The agreement, finalised late last year, was reported by Bloomberg News, citing sources familiar with the matter. Dell Technologies and Super Micro Computer had also submitted bids but were not selected.

The AI server market has experienced significant demand as businesses seek advanced hardware for AI applications. Musk’s ventures, including Tesla and xAI, have become key customers for this technology.

HPE shares saw a 1% rise during afternoon trading following the report. The company declined to comment on the deal.