SpaceX And Tesla ‘Can’t Talk About’ A Merge In Earnings Call, Musk Says
TeraFab, a proposed AI chip manufacturing venture between Tesla, SpaceX and xAI, which is now a SpaceX subsidiary.
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TeraFab, a proposed AI chip manufacturing venture between Tesla, SpaceX and xAI, which is now a SpaceX subsidiary.
Musk did, however, mention possible ... intelligence efforts. SpaceX and Telsa already formed a joint venture in March, a factory in Austin called Terafab to fabricate microchips....
Musk did, however, mention possible ... on artificial intelligence efforts. SpaceX and Telsa already formed a joint venture in March, a factory in Austin called Terafab to fabricate microchips....
Wed, July 22, 2026 at 6:32 p.m. EDT · Elon Musk explains that Tesla's (TSLA) new Terafab development facility in Austin will bring lithography, logic, memory, packaging, and testing under one roof to accelerate AI chip development necessary ...
The closer you look, the more amazed you are. Optimus will have that capability. It will have human and then superhuman dexterity. It's really going to be quite something. Let's see, Terafab. The Terafab, we expect to announce a location soon, and provide more details about our plans in that regard.
The closer you look, the more amazed you are. Optimus will have that capability. It will have human and then superhuman dexterity. It's really going to be quite something. Let's see, Terafab. The Terafab, we expect to announce a location soon, and provide more details about our plans in that regard.
SpaceX, xAI, and Tesla are collaborating on the Terafab facility in Texas to mass-produce AI chips, while SpaceX is also constructing an 11-million-square-foot Gigafactory in Texas for end-to-end production of AI satellites.
That same month, the chipmaker also revealed it had joined Elon Musk's 'TeraFab' project, with the SpaceXAI set to use Intel’s 14A chip manufacturing process at the fab.
According to background research, the current construction activity is taking place on the North Campus of Giga Texas in Austin, which is designated for initial prototype fab operations. The full-scale Terafab manufacturing complex is separately planned for Grimes County, Texas, near the Gibbons Creek Reservoir.
That kind of vertical integration matters for understanding the competitive dynamics here. Terafab means the combined entity is working on its own silicon, not solely dependent on Nvidia or other third-party chip suppliers.
“Terafab” sits at 84%, more than double “Intel” at 39%. Musk has said the Austin chip complex will run on Intel’s (NASDAQ:INTC) 14A process, reportedly making Tesla the first major customer named for the technology, yet traders expect ...
Business Insider has reported that SpaceX plans to build out Terafab in Grimes County, Texas, but this is unconfirmed. ... Musk confirmed recently that it would not be on Giga Texas property, as it is simply too large.
Terafab aims to produce one terawatt of AI processors annually, a production rate that is fifty times the combined output of all existing semiconductor fabrication facilities worldwide.
SpaceX's February 2026 acquisition of xAI is instrumental in its AI compute constellation plans because it effectively gives SpaceX a major internal customer and a sandbox for testing satellite performance. What's more, SpaceX, xAI, and Tesla are collaborating on the Terafab facility in Texas to mass-produce AI chips, enabling these companies to secure their own compute rather than relying on other suppliers.
Intel has also been involved in assisting Elon Musk’s vision for a Terafab chip factory. Market rumors have suggested that cloud giants including Google and Meta Platforms Inc. (META) are in talks with Intel to adopt its EMIB advanced packaging technology as an alternative to TSMC’s capacity-constrained CoWoS.
Texas Comptroller’s office tells KBTX Governor Greg Abbott has submitted positive determinations on the proposed Terafab tax agreements.
Among SpaceX-related topics, Tesla investors want to know how the two companies plan to collaborate on the Terafab, a chip factory that Musk is planning to build out in Grimes County, Texas, where Tesla is expected to lead R&D and SpaceX is expected to lead production.
SpaceXAI has hired for a data center ... in locations including Conroe, Texas. Conroe is where CEO Elon Musk plans to build a 'Terafab' semiconductor factory, for use by both SpaceX and Tesla....
Tesla is stepping up AI and robotics investment, planning over US$25b in 2026 capex to support Optimus, robotaxis, FSD and energy storage expansion. Elon Musk is driving a proposed US$120b Terafab semiconductor complex in Texas, intended to ...
Under Pat Gelsinger, Intel's previous ... those announcements were for relatively low-volume chips. In April, Intel said it would help design an ASIC with Google that it calls an infrastructure processing unit. Intel is also helping Elon Musk's Tesla and SpaceX build a chip factory called Terafab...