The technical specifications of the orbital platforms became clearer through additional comments from SpaceX leadership on Monday. CFO Bret Johnson confirmed in a separate interview that the AI data centers would utilize Nvidia graphics processing units for computational tasks. Looking further ahead, SpaceX intends to transition to specialized radiation-hardened semiconductors produced by Terafab, a major fabrication plant being developed through a partnership involving SpaceX, Tesla, and Intel.
The Terafab initiative is a significant step in the semiconductor industry, particularly in the context of increasing demand for advanced chips. Musk's goal to achieve an annual production capacity of 1 terawatt is poised to double the current ...
Elon Musk emphasized ASML's critical role during his address at the annual technology conference, where he unveiled the Terafab project, a massive semiconductor manufacturing initiative with an initial investment of $55 billion, potentially increasing to $119 billion. This project aims to address supply chain bottlenecks for SpaceX and Tesla, highlighting ASML's importance as the sole manufacturer of extreme ultraviolet lithography machines essential for advanced chip production.
Elon Musk plans to attend the ASML technology event virtually to discuss Terafab, his proposed chip manufacturing project that could supply both SpaceX and Tesla.
I wouldn't expect anything from Terafab for a looooong time. ASML and TSMC are probably the two most advanced manufacturing companies in the world and Elon expects to match them both within 5 to 10 years... Good luck. ... If Intel was not involved then the experience factor would count against them. With Intel there is a definite chance of volume production within five years. ... The chips alone are $3M-$4M per rack before prepping them for space.
“The ‘Made in America’ Stock Behind Elon Musk’s $55 Billion Terafab · “Elon Musk is planning to invest $55 billion to build the largest chip manufacturing facility in the world.
Space and Starlink Network: Providing radiation-hardened, high-performance core processors for SpaceX's Mars spacecraft, next-generation launch vehicles, and the Starlink satellite constellation.
The company’s merger with Elon Musk’s AI venture xAI adds another dimension. SpaceX is also reportedly exploring space-based data centers and AI compute initiatives. One collaboration with Tesla, dubbed Terafab, was slated for March 2026.
Tesla is working closely with Samsung, which will manufacture AI6 in Texas at its new semiconductor facility. Beyond that $16.5 billion chip manufacturing deal, Tesla has also partnered with Intel and SpaceX on the TERAFAB AI chip project to vertically integrate semiconductor production.
The centerpiece of this disruption is Terafab. This is not a project that operates within the standard industry framework. It is a massive, vertical integration machine designed to bypass the traditional semiconductor foundries that have held power for decades.
AMSTERDAM, June 11 (Reuters) - Elon Musk is expected to appear virtually at an event by computer chip equipment giant ASML (ASML.AS), opens new tab on Thursday to discuss Terafab, his plan for a massive chipmaking plant to supply Tesla (TSLA.O), opens new tab and IPO-bound SpaceX (SPCX.O), opens new tab.
On June 11, 2026, Elon Musk is set to attend an online event hosted by chip equipment giant ASML Holding NV ASML, where he will discuss the Terafab superchip factory initiative.
🚨 BREAKING: Elon Musk REVEALS the MIND-BLOWING scale of TERAFAB! Current AI chip production is a TINY 100 gigawatts PER YEAR? THAT'S NOTHING! To reach the n...
HPSP reportedly wins Terafab order tied to Musk’s semiconductor project Tomorrow's Headlines · 6h 19min ago · Home Tech Semiconductors · Monica Chen, Commentary Jun 11, 2026, 15:28 0 · Credit: DIGITIMES · Market chatter about TSMC has intensified, with reports that its advanced process and packaging prices will rise again in the second half of 2026 and 2027, while some Google TPU production could shift to Intel, and some AMD products could be made by Samsung...
SpaceX said solar manufacturing ... at the Bastrop site — sometimes referred to as Terafab — is planned to produce 10 GW per year of solar cells across two production floors, each rated at 5 GW....
The chip plans sit inside Musk's broader semiconductor push. The company’s proposed Terafab project would involve Tesla, SpaceX, xAI and Intel Corp.