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SpaceX and Tesla announced the Terafab project in August, stating it would combine chip manufacturing, advanced packaging and testing for logic and memory devices at a site projected to exceed 100 million square feet.
But I I I also have my my question still stands with regards to like if you look at Elon Musk's portfolio of companies or or or or specifically the vision for Tesla and SpaceX kind of operating in concert as this mega corporation, right? It's going to require hundreds of billion dollars in investment. I mean, Terafab alone is going to be 119 billion.
8, 2026, 9:18 AM ET · Reviewed by Tim Sykesand Fact-checked by Ellis Hobbs · Intel Corporation faces pressure from regulatory chip export curbs, and its stocks have been trading down by -2.02 percent.
Looking ahead to TSMC’s October 15 online earnings call, analysts cited by Central News Agency expect revenue to climb further in the fourth quarter, fueled by demand for NVIDIA’s Vera Rubin platform and TSMC’s 2nm process technology. [News] Intel CEO Lip-Bu Tan Says It Remains in Musk’s Terafab as TSMC Speculation Grows
Elon Musk’s proposed Terafab chip plant could involve Taiwan Semiconductor Manufacturing Co., but Tesla and SpaceX appear determined to keep control.
Musk confirms Tesla and SpaceX will lead $16.8B AI chip factory, bypassing TSMC for operations. Intel partners on 14A node. #AI #Crypto
The answer is Tesla and SpaceX, not Taiwan Semiconductor Manufacturing Co. In an October 7, 2026 post on X, Musk said his companies will construct and manage the facility in Grimes County, Texas, on their own.
Tesla and SpaceX jointly developed the Terafab project, with Intel already participating on the tech side. Elon Musk announced the project in March, and it intends to produce more than one terawatt of AI compute capacity annually once fully built.
Partner roles may still be fluid, but the physical project is advancing. The state’s August announcement said SpaceX would build the first phase of Terafab in Grimes County, Texas, with more than US$16.8 billion of capital investment and 3,000 jobs.
Musk says Tesla and SpaceX will build and run Terafab, with TSMC limited to renting. ... Elon Musk has drawn a firm line around who will be in charge of Terafab, the giant chip factory Tesla and SpaceX are planning in Texas.
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Elon Musk has made it clear that Tesla and SpaceX will retain control of their massive Terafab semiconductor project in Texas, ruling out any scenario in which Taiwan Semiconductor Manufacturing Company (TSMC) takes over the plant.
Elon Musk says Tesla and SpaceX will build and run the Terafab chip plant themselves, with TSMC limited to a possible sublease.
Finally, if Terafab can equip enough cleanroom space by the end of the decade to satisfy semiconductor requirements of Tesla, SpaceX, and xAI while still leaving substantial capacity available to TSMC, that would raise questions about whether the project had significantly overbuilt capacity in its initial phases.
Tesla TSLA and SpaceX SPCX have ... manufacturing, packaging, and testing all under one roof. Terafab is expected to start manufacturing chips by 2029....
Dan Ives sees more than 30% potential upside, while UBS called the setup “tactically favorable” and raised its price target to $391. TSLA Stock Heads For Weekly Win · Positive Sentiment: Tesla and SpaceX reportedly plan to build and operate a Texas “Terafab” AI-chip complex, potentially ...
Terafab can challenge TSMC in selected applications if it delivers competitive chips at scale. Our current assessment is that Intel has more to gain from proving the project works, while TSMC has more operating evidence supporting its position today.
Intel CEO Lip-Bu Tan confirmed that the company will remain involved in Elon Musk’s Terafab initiative, according to a Bloomberg report. The project is focused on developing large-scale chip manufacturing capacity and has attracted renewed attention after Musk discussed a potential partnership with Taiwan Semiconductor Manufacturing Co. Intel joined the initiative alongside SpaceX, xAI and Tesla, with its involvement covering areas such as silicon fabrication, chip design and advanced packaging.
Elon Musk says Tesla and SpaceX will build and run the Terafab AI chip complex.
Odaily Planet Daily reports that Elon Musk, CEO of Tesla and SpaceX, stated that Tesla and SpaceX will independently build and operate the Terafab AI chip factory in Texas, with TSMC potentially leasing some portions of the facility.