Tesla will invest $1 billion in developing the Dojo supercomputer to accelerate the research and development of autonomous driving technology.

According to Zhītōng Finance APP, Tesla (TSLA.US) is making every effort to invest in the field of supercomputing. Tesla stated that the electric vehicle manufacturer plans to invest over $1 billion in "Project Dojo" by the end of 2024.

The CEO of Tesla told investors that this internal supercomputer is being designed to process large amounts of data, including Tesla videos required for autonomous driving software. He stated during a conference call with analysts, "We will invest far more than $1 billion in Dojo in the next year." The disclosure of this large expenditure seemed to alarm investors, causing Tesla's stock price to drop over 4% after hours.

The CFO of Tesla quickly clarified during the conference call that this investment is divided into research and development and capital expenditures, and it aligns with the previously announced three-year spending expectations. Tesla stated that it has an "astonishing amount" of video footage available, thanks to its customers using camera-based driving assistance software Autopilot and the feature called "Full Self-Driving Beta," which has accumulated over 300 million miles of data. The company announced in its latest financial report that it has started production of its "Dojo training computer."