Elon Musk, Jen-Hsun Huang, and Saudi Arabia are jointly building a 500 megawatt data center, and both said: AI is not a bubble but a great migration of Computing Power.

Elon Musk and Jen-Hsun Huang pointed out together this morning in an interview in Saudi Arabia that humanoid robots will become the largest single product market in history. Concerns about an AI bubble are actually a major generational shift in global Computing Power from CPUs to GPUs, and they expect AI Computing Power to reach space within 5 years. The two also announced that xAI and Saudi Arabia will jointly build a 500 MW AI data center, starting with a phase of 50 MW, with core acceleration computing technology provided by NVIDIA.

Humanoid robots will become the largest market and move beyond the hype stage.

When discussing humanoid robots, Musk stated that most of what is seen on the market is just a gimmick for demonstration purposes, and truly useful humanoid robots have not yet come into existence.

He stated that Tesla (Tesla) aims to be the first to create the first generation of truly practical humanoid Bots, not just for home use, but in the future, every industry will adopt them to provide various goods and services. Musk also emphasized that in the long term, humanoid Bots will become the “largest single product market” in human history, with the scale potentially surpassing that of smartphones.

At a more macro level, he believes that the only viable path to making everyone wealthy is to combine AI and Bots, amplifying labor and productivity through automation and intelligence, rather than relying solely on traditional policies and slogans.

xAI and the Arab world are jointly building a 500 MW AI data center, with strong support from Nvidia.

Musk also officially announced at the meeting that xAI and Saudi Arabia will jointly build a 500 megawatt-level AI data center, serving as the core infrastructure for the AI strategic cooperation between the two parties. The project will start with a scale of 50 megawatts as the first phase, with NVIDIA providing key accelerated computing technology and related system support.

( Note: 500 megawatts, the average electricity consumption of a typical household in Taiwan is about 1 kW to 1.5 kW, which is roughly the combined use of air conditioning, television, and refrigerator. And 500 megawatts = 500,000 kilowatts, which can supply power to about 400,000 to 500,000 households at the same time.

NVIDIA adds multiple collaborations: AWS, Humain, Omniverse fully entering the market.

NVIDIA CEO Jen-Hsun Huang then announced more collaborations to further expand the technical layout of AI development in Saudi Arabia.

He pointed out that the Saudi startup Humain has been working closely with NVIDIA since its inception, and is now directly taking on Musk's 500 MW AI data center project. Additionally, AWS has also announced its participation in Humain's infrastructure plan, with the first phase starting at 100 MW, ultimately targeting a scale of 1 GW.

On the technical side, NVIDIA will collaborate with Humain to promote the Omniverse digital twin platform, applied in various scenarios such as factories, warehousing, and Bots training, assisting in the creation of virtual environments that comply with physical rules, allowing Bots to train in simulated spaces.

In addition, NVIDIA also assisted Saudi Arabia in establishing a quantum computer simulation system and a quantum error correction computing platform to support future research and verification needs of quantum technology.

) Note: Humain is an AI company supported by the Crown Prince of Saudi Arabia, established in May 2025, with the aim of promoting the Saudi AI strategy, achieving economic diversification, and reducing dependence on oil revenue. (

Computing Power and electricity are going to space, solar AI satellites are seen as the key to the next wave.

When discussing AI in space, Musk pointed out that if human civilization continues to develop and needs to use a larger proportion of solar energy, it will be necessary to move Computing Power and electricity production into space.

He explained that the Earth only receives a tiny fraction of the solar energy, and if hundreds of GW or even TW levels of AI Computing Power need to be added every year in the future, it will be difficult to achieve this in terms of power supply or heat dissipation on the ground. In contrast, space offers several key advantages:

Always daytime, no battery storage needed.

Without clouds and weather interference, solar energy can generate stable power for a long time.

Heat dissipation can rely entirely on radiation cooling, without the need for large water cooling and complex machine room systems.

Solar panels can simplify design without the need for additional glass and heavy brackets.

Elon Musk even estimates that in about 4 to 5 years, solar AI satellites in space could become a solution with a “lower unit computing power cost” than ground data centers, becoming an important direction for the next phase of AI infrastructure.

The AI boom is not a bubble; it is a global computing power migration.

Facing external doubts about whether “AI is forming a bubble,” Jen-Hsun Huang stated that what is happening with AI now is not just a craze for a single application, but a “generational shift” in global computing architecture from CPU to GPU accelerated computing.

He cited that the high-performance computing field has undergone structural changes in just 6 years. For example, in the past, about 90% of the world's top 500 supercomputers were primarily based on traditional CPUs. Now, however, over 80-90% have adopted GPU and accelerated computing architectures.

The underlying system has fully switched to GPU, and accelerating computing is the main key to AI growth.

Jen-Hsun Huang emphasized that this transformation has begun to comprehensively optimize data processing, databases, and recommendation systems from the ground up, as banks, e-commerce, social platforms, and advertising are fully transitioning from “traditional servers + CPU” to “accelerated computing + GPU.” On this new foundation, large models and AI agent applications like OpenAI and Grok can continue to drive demand growth.

He summarized that if we look at the current investment and construction scale from the perspective of this “Computing Power Structural Migration,” we will find that the portion truly dedicated to “revolutionary new AI” is actually built on a large and reasonable base demand, thus showing a clear difference from the traditional concept of asset bubbles.

This article discusses how Musk, Jen-Hsun Huang, and Saudi Arabia are jointly building a 500 megawatt data center, with both saying: AI is not a bubble but rather a migration of Computing Power, first appearing in Chain News ABMedia.