Tech companies typically use GPUs to work on large AI models, given the computational workload the newer technology requires.
Musk, however, has criticized the recent development of generative AI, saying the technology is powerful and needs regulation to make sure it's operating within "the public interest."
It's unclear exactly what Twitter will use generative AI for, the people familiar said.
Generative AI has the capability, if trained for the use, to create new advertising images and text to target specific audiences.
Nvidia, which is estimated to have 95% of the market, manufactures a GPU for large AI models that costs $10,000.