That figure, which covers what Tesla plans to spend on physical assets outside of its day-to-day operating expenditures, is three times higher than its annual capex budget in previous years. For comparison, Tesla’s annual capital expenditures were $8.5 billion in 2025, $11.3 billion in 2024, and $8.9 billion in 2023.
Tesla had announced in January that it expected capital expenditures to be in excess of $20 billion in 2026, already a substantial increase meant to cover its AI initiatives, including investments in compute infrastructure and data centers, and the expansion and ramp of its manufacturing and R&D production lines, among other items.
This $5 billion uptick suggests these initiatives will require more money than previously planned. But so far, its quarterly capital expenditure, which was $2.5 billion, was in line with previous quarters, the report shows.
Of course, Musk views this as a positive, a sentiment many other shareholders will likely also share since it positions Tesla as a company investing in its future, namely AI and robotics.
“With 2026 we’re going to be substantially increasing our investments in the future,” Musk said in the earnings call Wednesday. “So you should expect to see significant, a very significant increase in capital expenditures, but I think well justified for a substantially increased future revenue stream.”
Musk was quick to note that Tesla isn’t the only company raising its capital expenditure budget. Amazon, for instance, has projected $200 billion in capital expenditures in 2026, across “AI, chips, robotics, and low earth orbit satellites.” Google is slated to spend between $175 billion and $185 billion in capital expenditures in 2026, up from $91.4 billion the previous year.
Techcrunch event
San Francisco, CA|October 13-15, 2026
The increase in Tesla’s capital expenditures is linked to Musk’s desire and ambition to evolve the company beyond building and selling EVs, solar, and energy storage.
Some of the capex spend will go toward Tesla’s core technologies such as its battery and AI software, according to Musk. The company plans to invest in AI training, chip design, and “laying the groundwork” for increasing manufacturing production, as well as invest in its robotaxi operations and its new semiconductor research fab in Austin.
The Fremont, California, factory will likely suck up some of that capital as the company ends production of the Tesla Model S and Model X and begins building its Optimus humanoid robot at scale. The company said Wednesday it has also cleared ground outside its Austin factory for a dedicated Optimus manufacturing facility.
Tesla plans to increase its internal production of Optimus for testing and then “probably” make Optimus “useful outside of Tesla sometime next year,” he said.
Tesla is also putting money toward strengthening its supply chain “across the board,” Musk said, adding that this covers batteries, energy, and AI silicon.
All of this spending, which CFO Vaibhav Taneja said will last a couple of years, comes with a literal cost. The company — which enjoyed a brief 4% share price bump due, in part, to an unexpected $1.4 billion in free cash flow — will head into negative territory later this year, Taneja said.
Tesla shares erased their gains in after-hours trading as Musk and Taneja laid out these plans to investors. Still, Tesla is sitting on loads of cash. At the end of the first quarter, Tesla reported $44.7 billion in cash, cash equivalents, and short-term investments.
“While this may seem like a lot, and we will have the impact of negative free cash flow for the rest of the year, we believe this is the right strategy to position the company for the next era,” Taneja said.
When you purchase through links in our articles, we may earn a small commission. This doesn’t affect our editorial independence.
That figure, which covers what Tesla plans to spend on physical assets outside of its day-to-day operating expenditures, is three times higher than its annual capex budget in previous years. For comparison, Tesla’s annual capital expenditures were $8.5 billion in 2025, $11.3 billion in 2024, and $8.9 billion in 2023.
Tesla had announced in January that it expected capital expenditures to be in excess of $20 billion in 2026, already a substantial increase meant to cover its AI initiatives, including investments in compute infrastructure and data centers, and the expansion and ramp of its manufacturing and R&D production lines, among other items.
This $5 billion uptick suggests these initiatives will require more money than previously planned. But so far, its quarterly capital expenditure, which was $2.5 billion, was in line with previous quarters, the report shows.
Of course, Musk views this as a positive, a sentiment many other shareholders will likely also share since it positions Tesla as a company investing in its future, namely AI and robotics.
“With 2026 we’re going to be substantially increasing our investments in the future,” Musk said in the earnings call Wednesday. “So you should expect to see significant, a very significant increase in capital expenditures, but I think well justified for a substantially increased future revenue stream.”
Musk was quick to note that Tesla isn’t the only company raising its capital expenditure budget. Amazon, for instance, has projected $200 billion in capital expenditures in 2026, across “AI, chips, robotics, and low earth orbit satellites.” Google is slated to spend between $175 billion and $185 billion in capital expenditures in 2026, up from $91.4 billion the previous year.
Techcrunch event
San Francisco, CA|October 13-15, 2026
The increase in Tesla’s capital expenditures is linked to Musk’s desire and ambition to evolve the company beyond building and selling EVs, solar, and energy storage.
Some of the capex spend will go toward Tesla’s core technologies such as its battery and AI software, according to Musk. The company plans to invest in AI training, chip design, and “laying the groundwork” for increasing manufacturing production, as well as invest in its robotaxi operations and its new semiconductor research fab in Austin.
The Fremont, California, factory will likely suck up some of that capital as the company ends production of the Tesla Model S and Model X and begins building its Optimus humanoid robot at scale. The company said Wednesday it has also cleared ground outside its Austin factory for a dedicated Optimus manufacturing facility.
Tesla plans to increase its internal production of Optimus for testing and then “probably” make Optimus “useful outside of Tesla sometime next year,” he said.
Tesla is also putting money toward strengthening its supply chain “across the board,” Musk said, adding that this covers batteries, energy, and AI silicon.
All of this spending, which CFO Vaibhav Taneja said will last a couple of years, comes with a literal cost. The company — which enjoyed a brief 4% share price bump due, in part, to an unexpected $1.4 billion in free cash flow — will head into negative territory later this year, Taneja said.
Tesla shares erased their gains in after-hours trading as Musk and Taneja laid out these plans to investors. Still, Tesla is sitting on loads of cash. At the end of the first quarter, Tesla reported $44.7 billion in cash, cash equivalents, and short-term investments.
“While this may seem like a lot, and we will have the impact of negative free cash flow for the rest of the year, we believe this is the right strategy to position the company for the next era,” Taneja said.
When you purchase through links in our articles, we may earn a small commission. This doesn’t affect our editorial independence.
#Tesla #increased #spending #plan #25B #heres #money #TechCrunchElon Musk,Tesla">Tesla just increased its spending plan to $25B — here’s where the money is going | TechCrunch
Tesla CEO Elon Musk kicked off the company’s first-quarter earnings call with a monetary heads-up — or depending on the mindset of the investor, a warning. Tesla’s capital expenditures will skyrocket to $25 billion in 2026, far outpacing its previous annual spend as it races to stay ahead of the competition and transitions to an AI and robotics company, according to its first-quarter earnings report.
That figure, which covers what Tesla plans to spend on physical assets outside of its day-to-day operating expenditures, is three times higher than its annual capex budget in previous years. For comparison, Tesla’s annual capital expenditures were $8.5 billion in 2025, $11.3 billion in 2024, and $8.9 billion in 2023.
Tesla had announced in January that it expected capital expenditures to be in excess of $20 billion in 2026, already a substantial increase meant to cover its AI initiatives, including investments in compute infrastructure and data centers, and the expansion and ramp of its manufacturing and R&D production lines, among other items.
This $5 billion uptick suggests these initiatives will require more money than previously planned. But so far, its quarterly capital expenditure, which was $2.5 billion, was in line with previous quarters, the report shows.
Of course, Musk views this as a positive, a sentiment many other shareholders will likely also share since it positions Tesla as a company investing in its future, namely AI and robotics.
“With 2026 we’re going to be substantially increasing our investments in the future,” Musk said in the earnings call Wednesday. “So you should expect to see significant, a very significant increase in capital expenditures, but I think well justified for a substantially increased future revenue stream.”
Musk was quick to note that Tesla isn’t the only company raising its capital expenditure budget. Amazon, for instance, has projected $200 billion in capital expenditures in 2026, across “AI, chips, robotics, and low earth orbit satellites.” Google is slated to spend between $175 billion and $185 billion in capital expenditures in 2026, up from $91.4 billion the previous year.
Techcrunch event
San Francisco, CA|October 13-15, 2026
The increase in Tesla’s capital expenditures is linked to Musk’s desire and ambition to evolve the company beyond building and selling EVs, solar, and energy storage.
Some of the capex spend will go toward Tesla’s core technologies such as its battery and AI software, according to Musk. The company plans to invest in AI training, chip design, and “laying the groundwork” for increasing manufacturing production, as well as invest in its robotaxi operations and its new semiconductor research fab in Austin.
The Fremont, California, factory will likely suck up some of that capital as the company ends production of the Tesla Model S and Model X and begins building its Optimus humanoid robot at scale. The company said Wednesday it has also cleared ground outside its Austin factory for a dedicated Optimus manufacturing facility.
Tesla plans to increase its internal production of Optimus for testing and then “probably” make Optimus “useful outside of Tesla sometime next year,” he said.
Tesla is also putting money toward strengthening its supply chain “across the board,” Musk said, adding that this covers batteries, energy, and AI silicon.
All of this spending, which CFO Vaibhav Taneja said will last a couple of years, comes with a literal cost. The company — which enjoyed a brief 4% share price bump due, in part, to an unexpected $1.4 billion in free cash flow — will head into negative territory later this year, Taneja said.
Tesla shares erased their gains in after-hours trading as Musk and Taneja laid out these plans to investors. Still, Tesla is sitting on loads of cash. At the end of the first quarter, Tesla reported $44.7 billion in cash, cash equivalents, and short-term investments.
“While this may seem like a lot, and we will have the impact of negative free cash flow for the rest of the year, we believe this is the right strategy to position the company for the next era,” Taneja said.
When you purchase through links in our articles, we may earn a small commission. This doesn’t affect our editorial independence.
A game that knows you: the personalized experience
It is interesting to play a game as long as it is unpredictable. AI allows for tailoring playing experiences to individuals. This is possible due to the AI analyzing the skill levels, performance, and preferences of players. The game adapts to your style of playing and makes subtle adjustments to the game in real time. This is far more than just a simple “easy, normal, hard” difficulty setting.
Dynamic difficulty adjustment: The system detects your performance and adjusts the game levels accordingly. For example, it might slightly reduce enemy numbers or provide more resources. Vice versa, if you’re doing well, the algorithm keeps the challenge.
Personalized content: It’s great to know your decisions impact the storyline of the game. AI might notice you prefer a certain weapon type and start dropping more powerful versions of it. In narrative games, it can alter future plot points based on the choices and emotional reactions it observes from the player. Besides, the system might adapt in-game rewards to players’ preferences. For example, you can receive new gear, abilities, or characters.
Social customization: AI may suggest players with the same skill levels to keep the competitive environment. At the same time, it may also offer personalized NPCs, which adds to the general immersive experience.
Conclusion
To summarize what was mentioned before, AI allows for never having the same gaming experience twice. This makes gameplay exciting for gamers, yet the development process becomes challenging and demands high competence from the specialists. Therefore, game studios partner with a specialized AI development company in the United States to create unforgettable playing grounds. And the amazing news is that it is only the beginning. AI continues to develop and inspire improvements in all the spheres where it is applied.
A game that knows you: the personalized experience
It is interesting to play a game as long as it is unpredictable. AI allows for tailoring playing experiences to individuals. This is possible due to the AI analyzing the skill levels, performance, and preferences of players. The game adapts to your style of playing and makes subtle adjustments to the game in real time. This is far more than just a simple “easy, normal, hard” difficulty setting.
Dynamic difficulty adjustment: The system detects your performance and adjusts the game levels accordingly. For example, it might slightly reduce enemy numbers or provide more resources. Vice versa, if you’re doing well, the algorithm keeps the challenge.
Personalized content: It’s great to know your decisions impact the storyline of the game. AI might notice you prefer a certain weapon type and start dropping more powerful versions of it. In narrative games, it can alter future plot points based on the choices and emotional reactions it observes from the player. Besides, the system might adapt in-game rewards to players’ preferences. For example, you can receive new gear, abilities, or characters.
Social customization: AI may suggest players with the same skill levels to keep the competitive environment. At the same time, it may also offer personalized NPCs, which adds to the general immersive experience.
Conclusion
To summarize what was mentioned before, AI allows for never having the same gaming experience twice. This makes gameplay exciting for gamers, yet the development process becomes challenging and demands high competence from the specialists. Therefore, game studios partner with a specialized AI development company in the United States to create unforgettable playing grounds. And the amazing news is that it is only the beginning. AI continues to develop and inspire improvements in all the spheres where it is applied.
#Ghost #Machine #Crafting #Future #Gaming #WorldsAI">The Ghost in the Machine: How AI is Crafting the Future of Gaming Worlds
For decades, playing a video game was like following someone’s elaborate script. Every character and branching path was meticulously created by a developer. While impressive, these environments were ultimately finite and predictable. They had boundaries, not just on the map, but in their very code. Modern reality has changed it. Artificial intelligence is transforming the virtual world from static landscapes to dynamic systems with no pre-written steps. The gaming environment is becoming smart, and the players enjoy total immersion and engagement in the process.
Beyond the script: creating characters that think
The most noticeable impact of AI falls on the inhabitants of these virtual worlds, Non-Player Characters (NPCs). We’ve all seen a classic city guard who repeats the same line of dialogue endlessly or an enemy running along a predictable path. Modern AI leaves these simplistic automatons behind.
Instead of a rigid script, today’s NPCs perceive and react to the world around them. They utilize complex algorithms to navigate difficult environments, find cover, or coordinate group attacks. More impressively, they learn from player behavior. Imagine an enemy that notices you always use stealth and begins setting traps. This creates a much more engaging experience, the world feels less like programmed challenges and more like intelligent agents with their own goals.
Dynamic pathfinding: Characters don’t follow predefined routes. They can analyze the environment in real time and figure out the best way to the destination point. Remarkably, they cope with that even if the terrain changes suddenly.
Behavioral trees: Developers apply complex decision-making models. This allows NPCs to choose from a wide range of actions based on current situations, making them highly unpredictable.
Machine learning: Some advanced systems train NPCs by having them observe human players. This allows them to adopt effective strategies that a developer might never have programmed manually.
Worlds without end: the magic of procedural generation
Creating a whole world where gamers will learn to survive takes much time and effort. Building every tree or mountain manually is a rigorous task. AI-driven Procedural Content Generation (PCG) turns out to be a solution here. Designers, technical artists, and engineers use the PCG as a toolset of helpful components. The framework creates game content automatically and generates believable environments.
AI technologies allow designers to avoid manually scattering random trees if they need to depict a credible forest landscape. Instead, the AI algorithm learns the rules of a forest ecosystem. The combination of realistic views and the engineer’s initial intent in the setting captures players and makes them enjoy the game. For example, No Man’s Sky used PCG to create a virtual galaxy with billions of planets. Planets have their unique flora and fauna. Players can fight with alien species or trade with them to get necessary resources or equipment. The game fosters a sense of exploration and impresses with its scale. The future of AI in GameDev lies in this ability to create believable worlds.
A game that knows you: the personalized experience
It is interesting to play a game as long as it is unpredictable. AI allows for tailoring playing experiences to individuals. This is possible due to the AI analyzing the skill levels, performance, and preferences of players. The game adapts to your style of playing and makes subtle adjustments to the game in real time. This is far more than just a simple “easy, normal, hard” difficulty setting.
Dynamic difficulty adjustment: The system detects your performance and adjusts the game levels accordingly. For example, it might slightly reduce enemy numbers or provide more resources. Vice versa, if you’re doing well, the algorithm keeps the challenge.
Personalized content: It’s great to know your decisions impact the storyline of the game. AI might notice you prefer a certain weapon type and start dropping more powerful versions of it. In narrative games, it can alter future plot points based on the choices and emotional reactions it observes from the player. Besides, the system might adapt in-game rewards to players’ preferences. For example, you can receive new gear, abilities, or characters.
Social customization: AI may suggest players with the same skill levels to keep the competitive environment. At the same time, it may also offer personalized NPCs, which adds to the general immersive experience.
Conclusion
To summarize what was mentioned before, AI allows for never having the same gaming experience twice. This makes gameplay exciting for gamers, yet the development process becomes challenging and demands high competence from the specialists. Therefore, game studios partner with a specialized AI development company in the United States to create unforgettable playing grounds. And the amazing news is that it is only the beginning. AI continues to develop and inspire improvements in all the spheres where it is applied.
Open-style wireless earbuds are all the rage these days, but not all the major brands are on board yet. Samsung, for example, still has its semi-open-ear Galaxy Buds 4, but nothing quite as open as the Bose Ultra Open Earbuds or Nothing’s Ear Open. I should say Samsung doesn’t have anything fully open yet.
According to a leak from SammyGuru, Samsung is working on a new pair of Galaxy Buds called the Galaxy Buds Able, and it looks like that unreleased pair might opt for an open-style clip design if illustrations found in recent One UI firmware are anything to go by.
In addition to the open-style design, SammyGuru is also reporting that the Galaxy Buds Able will use bone conduction, which is suited for delivering sound without needing to plug up your ears with silicone ear tips. Another benefit of bone conduction is that it’s not prone to sound leakage, which is often a downside of most pairs of open wireless earbuds. Bone conduction is also often used in more fitness-focused wireless earbuds, so there’s a chance the Galaxy Buds Able might lean into running and other exercise applications.
Samsung’s upcoming Galaxy Buds Able, spotted in One UI firmware, feature a unique clip-on bone conduction design that keeps your ears open while delivering sound in a whole new way.
Would you trade premium sound quality for more awareness and comfort in your daily listening?…
While clip-style open wireless earbuds aren’t novel—Sony, SoundPeats, and JBL all have their own pairs now—it’d be a departure for Samsung and a big indicator that open wireless earbuds are having a huge moment right now. If the leaks pan out, one of the things I’m most interested to see is whether Samsung endeavors to provide any kind of noise reduction. Though full-on active noise cancellation (ANC) isn’t possible without ear tips, brands like Shokz have managed to provide a surprisingly effective level of noise reduction that scratches a similar itch. Shokz’s OpenFit Pro, for example, are its only pair with noise reduction, but they do have a bulkier design. They’re not exactly clip-style; instead, they loop around the back of your ears with a sound module that nestles into the outer ear.
Since the Galaxy Buds Able aren’t official yet, there’s no word on price or release date, but there’s a chance they could end up being unveiled this summer at Samsung’s next Unpacked event.
Open-style wireless earbuds are all the rage these days, but not all the major brands are on board yet. Samsung, for example, still has its semi-open-ear Galaxy Buds 4, but nothing quite as open as the Bose Ultra Open Earbuds or Nothing’s Ear Open. I should say Samsung doesn’t have anything fully open yet.
According to a leak from SammyGuru, Samsung is working on a new pair of Galaxy Buds called the Galaxy Buds Able, and it looks like that unreleased pair might opt for an open-style clip design if illustrations found in recent One UI firmware are anything to go by.
In addition to the open-style design, SammyGuru is also reporting that the Galaxy Buds Able will use bone conduction, which is suited for delivering sound without needing to plug up your ears with silicone ear tips. Another benefit of bone conduction is that it’s not prone to sound leakage, which is often a downside of most pairs of open wireless earbuds. Bone conduction is also often used in more fitness-focused wireless earbuds, so there’s a chance the Galaxy Buds Able might lean into running and other exercise applications.
Samsung’s upcoming Galaxy Buds Able, spotted in One UI firmware, feature a unique clip-on bone conduction design that keeps your ears open while delivering sound in a whole new way.
Would you trade premium sound quality for more awareness and comfort in your daily listening?…
While clip-style open wireless earbuds aren’t novel—Sony, SoundPeats, and JBL all have their own pairs now—it’d be a departure for Samsung and a big indicator that open wireless earbuds are having a huge moment right now. If the leaks pan out, one of the things I’m most interested to see is whether Samsung endeavors to provide any kind of noise reduction. Though full-on active noise cancellation (ANC) isn’t possible without ear tips, brands like Shokz have managed to provide a surprisingly effective level of noise reduction that scratches a similar itch. Shokz’s OpenFit Pro, for example, are its only pair with noise reduction, but they do have a bulkier design. They’re not exactly clip-style; instead, they loop around the back of your ears with a sound module that nestles into the outer ear.
Since the Galaxy Buds Able aren’t official yet, there’s no word on price or release date, but there’s a chance they could end up being unveiled this summer at Samsung’s next Unpacked event.
#Samsungs #Pair #Galaxy #Buds #Huge #Departureaudio,Galaxy Buds Pro,wireless earbuds">Samsung’s Next Pair of Galaxy Buds Look Like a Huge Departure
Open-style wireless earbuds are all the rage these days, but not all the major brands are on board yet. Samsung, for example, still has its semi-open-ear Galaxy Buds 4, but nothing quite as open as the Bose Ultra Open Earbuds or Nothing’s Ear Open. I should say Samsung doesn’t have anything fully open yet.
According to a leak from SammyGuru, Samsung is working on a new pair of Galaxy Buds called the Galaxy Buds Able, and it looks like that unreleased pair might opt for an open-style clip design if illustrations found in recent One UI firmware are anything to go by.
In addition to the open-style design, SammyGuru is also reporting that the Galaxy Buds Able will use bone conduction, which is suited for delivering sound without needing to plug up your ears with silicone ear tips. Another benefit of bone conduction is that it’s not prone to sound leakage, which is often a downside of most pairs of open wireless earbuds. Bone conduction is also often used in more fitness-focused wireless earbuds, so there’s a chance the Galaxy Buds Able might lean into running and other exercise applications.
Samsung’s upcoming Galaxy Buds Able, spotted in One UI firmware, feature a unique clip-on bone conduction design that keeps your ears open while delivering sound in a whole new way.
Would you trade premium sound quality for more awareness and comfort in your daily listening?…
While clip-style open wireless earbuds aren’t novel—Sony, SoundPeats, and JBL all have their own pairs now—it’d be a departure for Samsung and a big indicator that open wireless earbuds are having a huge moment right now. If the leaks pan out, one of the things I’m most interested to see is whether Samsung endeavors to provide any kind of noise reduction. Though full-on active noise cancellation (ANC) isn’t possible without ear tips, brands like Shokz have managed to provide a surprisingly effective level of noise reduction that scratches a similar itch. Shokz’s OpenFit Pro, for example, are its only pair with noise reduction, but they do have a bulkier design. They’re not exactly clip-style; instead, they loop around the back of your ears with a sound module that nestles into the outer ear.
Since the Galaxy Buds Able aren’t official yet, there’s no word on price or release date, but there’s a chance they could end up being unveiled this summer at Samsung’s next Unpacked event.
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