After Tesla CEO Elon Musk publicly began recruiting domestic semiconductor design engineers in February this year, the company last month also began hiring senior process engineers for its "Terafab" project, on condition of working in Seoul. "It appears they are targeting talent from Samsung Electronics and SK hynix, which hold a large pool of memory, foundry, and packaging personnel," an industry official said.
Earlier, Nvidia invested $5 billion in Intel last September, and TeraFab, which includes Tesla and SpaceX, is targeting mass production in 2029 using Intel's 14A process. Just before the Trump administration's equity investment, Japan's SoftBank also invested $2 billion to become one of Intel's top 10 shareholders.
Intel’s foundry unit, which initially only developed chips for Intel internally, has now secured various orders, including one from Nvidia and another one, a “Terafab” project, described as a grand chip factory that would be built using Intel’s technology. This expansion follows the broader Intel Apple momentum around U.S. chip design and manufacturing.
Dan Nystedt / @dnystedt: President Trump on Truth Social: -Apple now working with Intel to design and build its chips in the US. -Nvidia also working with Intel -Elon Musk's TeraFab designed with Intel, using Intel tech.
Don't look for Jensen Huang to panic after any dip in AI stocks or the market. More investors should view such declines as chances to buy stock for cheap. Nvidia trades at 31x trailing P/E with $1 trillion revenue in its sights as Vera Rubin targets the agentic AI era. Taiwan Semiconductor, the 'Nvidia of the foundry,' trades at 37x P/E and faces no meaningful near-term competition despite Terafab ...
The Terafab project is the first major outside commitment for Intel's capital-intensive foundry business, which had only manufactured chips for its own products.
Terafab is a massive semiconductor project aimed at building an AI chip supply chain for Musk‘s future businesses, including xAI LLC, Space Exploration Technologies Corp.
It later worked with Elon Musk, the president said, to negotiate a deal with Intel to use its technology to run a chip manufacturing plant called Terafab, which Mr. Musk is developing. Finally, Mr. Trump said in his post, “Apple has agreed to work with Intel to design and build its Chips in America.”
Host: The simplest argument against Terafab and Intel foundry competitiveness concerns labor costs and domestic manufacturing viability. What logic drove you to double down on foundry?
Trump framed the deal as part of ... took our Economy for granted, and let Taiwan and others steal our Semiconductor Factories… I decided to help Intel because we need to design and build our Chips right here in America. First, we helped bring in Nvidia, and they agreed to build their first level Chips with Intel.” Trump also highlighted Intel’s upcoming Terafab chipmaking ...
Trump didn't elaborate on the tie-up, which he mentioned after championing Nvidia Corp. and Elon Musk's Terafab chipmaking ambitions in a Truth Social post. The iPhone maker has held exploratory discussions about using Intel and Samsung Electronics Co.
Chief Executive Officer Christophe Fouquet recently underscored that the demand for advanced AI data centers remains enormous, reassuring investors of the long-term structural tailwinds supporting the company. Additionally, market enthusiasm was bolstered by discussions surrounding high-profile initiatives, such as Elon Musk's proposed Terafab project, which could significantly rely on ASML’s cutting-edge extreme ultraviolet lithography systems.
Additionally, Musk’s two companies are already deeply intertwined through shared semiconductor fabrication at their joint TERAFAB facility in Austin, cross-company supply chain transactions, and Tesla’s $2 billion investment in xAI prior to the SpaceX-xAI merger.
This table shows the four proof points behind the stock’s re-rating: CHIPS Act support, Tesla’s 14A deal, Apple’s U.S. chip signal, and rising Taiwan risk. Apple would not be the first outside customer to give Intel’s foundry effort credibility. Tesla already emerged as a major early name tied to Intel’s 14A process through the Terafab project, which helped show that Intel’s manufacturing platform could attract outside demand.
El analista Steve Man sostiene ... de Terafab, Macrohard y cualquier participación relevante de Tesla en la exploración espacial todavía requerirán varios años para materializarse. El pilar fundamental en el que se sustenta este escepticismo es que ninguna de las dos firmas está logrando rentabilidad en sus divisiones de IA... por el momento. xAI, cuya facturación ...
Trump says the deal is part of his administration’s push to reshore semiconductor manufacturing, writing that the U.S. needs to build its chips domestically and that he "decided to help Intel because we need to design and build our Chips right here in America.” He credited earlier government intervention for drawing Nvidia and Elon Musk's TeraFab project to Intel's foundry. Apple already designs its own silicon and has done so since it dropped Intel processors from its products in
Er erwähnte sie in einem Beitrag auf Truth Social, nachdem er die Chip-Ambitionen von Nvidia sowie Elon Musks Terafab hervorgehoben hatte. Der iPhone-Hersteller hat Gespräche darüber geführt, Intel und Samsung Electronics für die Produktion der Hauptprozessoren seiner Geräte in den USA einzusetzen.
Additionally, Musk’s two companies are already deeply intertwined through shared semiconductor fabrication at their joint TERAFAB facility in Austin, cross-company supply chain transactions, and Tesla’s $2 billion investment in xAI prior to the SpaceX-xAI merger.