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Governor Greg Abbott formally announced the project Thursday, extending a $30 million Texas Enterprise Fund grant to SpaceX and calling Terafab “first of its kind.” Abbott said the facility will accelerate chip production in Texas at an unprecedented scale and create economic opportunity for generations of Texans.
Tesla and SpaceX said Thursday that “Terafab,” the advanced chip factory they are jointly developing, will be built in Grimes County, Texas, outside Houston, and that they will make an initial investment of $16.8 billion in the project.
Tesla and SpaceX confirmed Terafab, their ‘largest-ever’ chip fab, will rise in Grimes County, Texas, with a $16.8 billion first phase and 100M sq ft.
The first phase of the Terafab project will create 3,000 new jobs and generate a capital investment of $16.8B+. Texas is where big ideas grow even bigger.
ME AI message: Musk posted that he roughly estimates 25% of TeraFab’s AI computing power will be allocated to Tesla Optimus, and 75% to AI spacecraft. Previously, Tesla announced that TeraFab will launch in Texas with the goal of achieving over one terawatt of computing power annually.
The site of the demolished Gibbons Creek Power Plant in Grimes County, about 15 miles east of College Station, is seen Sunday, June 7, 2026. The site and surrounding area is the approximate location of the proposed SpaceX Terafab semiconductor ...
The TeraFab Scale To reach a terawatt of AI compute output per year, SpaceX needs a chip factory at a scale that does not exist. That is the TeraFab. Elon Musk on the size: ~ 100 million square feet of factory floor ~ 10x larger than the entire Tesla Gigafactory Texas ~ Designed to produce one billion full-reticle chip equivalents per year ~ Each chip producing roughly one kilowatt of compute For context, current global AI chip manufacturing tops out at around 100 gigawatts per year of total com
SpaceX is building a $16.8B semiconductor plant in Grimes County, Texas. The "Terafab" facility will create 3,000 jobs and consolidate chip manufacturing for space and AI.
Elon Musk’s SpaceX <SPCX.O> and Tesla <TSLA.O> will initially invest $16.8 billion to build Terafab, an advanced AI semiconductor complex in Grimes County, Texas, as the companies race to secure the chip capacity that the billionaire has called essential to their future.
SpaceX’s growing Texas footprint alone has already generated more than 56,000 direct and indirect jobs, over $28 billion in estimated economic impact since 2024, and hundreds of millions in indirect tax revenue since 2024.
Capex ist laut Dan Ives der einzige Weg zu Musks KI-Vision für SpaceX · Am 05. August 2026 um 16:12 Uhr · Unter der Lupe: Terafab - disruptives Musk-Projekt oder Rohrkrepierer?
Elon Musk’s SpaceX <SPCX.O> and Tesla <TSLA.O> will initially invest $16.8 billion to build Terafab, an advanced AI semiconductor complex in Grimes County, Texas, as the companies race to
SpaceX and Tesla will initially ... ... Terafab is intended to narrow the gap between existing global chip supply and the computing capacity SpaceX and Tesla expect to require in the coming years....
Wall Street has already built theses around the venture. Wedbush called Terafab the first step toward a Tesla–SpaceX merger it expects in 2027, while RBC estimated the project could help Tesla avoid $1.5 trillion in external chip spendingby 2050.
Capex ist laut Dan Ives der einzige Weg zu Musks KI-Vision für SpaceX · Am 05. August 2026 um 16:12 Uhr · Unter der Lupe: Terafab - disruptives Musk-Projekt oder Rohrkrepierer?
Important to remember that the R&D facility at Giga Texas has to come online first for the innovation to be done to achieve the production that Terafab is intended to achieve. ... Musk might get to a special arrangement with ASML (so that he does not start to vertically integrate in the segment). Alternatively, there may be workarounds. ... Hints on x seems they are going for next gen lithography with free electron laser euv.
Capex Is Only Way to Musk's AI Vision for SpaceX, Says Dan Ives · August 05, 2026 at 10:12 am EDT · Terafab, a disruptive project or a damp squib? July 03, 2026 at 04:12 am EDT · More analyses · Trader · Trader · This super rating is the result of a weighted average of the rankings based on the following ratings: Valuation (Composite), EPS Revisions (4 months), and Visibility (Composite).
Terafab will be built in Grimes County, Texas In April, we broke ground on our research fab on the North Campus of Giga Texas – the precursor to Terafab. Both Tesla & SpaceX will need far more chips than current & future global production ...
The dollar figure tied to this phase of construction, per Reuters, is $16.8 billion, one of the first hard capital expenditure numbers attached to Terafab since Musk unveiled the joint Tesla-SpaceX-xAI venture in March.Reaction on X ranged from enthusiastic to skeptical.
Jensen Huang announced Alpamayo 2 Super, an open reasoning model built specifically for autonomous vehicles, with an explicit design goal of reasoning through ambiguity before acting rather than just reacting to sensor input.