Tesla2026-08-06 15:42:36Tesla Confirms Terafab Chip Plant for Grimes County, Texas, Targeting Over 1 TW of ComputeTesla (TSLA) has now confirmed that Terafab, the chip manufacturing program it launched with SpaceX earlier this year, will be built in Grimes County, Texas. Billed by the two companies as the world's largest chip-making initiative, the project integrates logic chips, memory chips and advanced packaging within a single facility. In April, Tesla broke ground on a new R&D wafer fab at the north campus of its Texas Gigafactory, a site that serves as the precursor to Terafab. Combined chip demand from SpaceX and Tesla is expected to exceed 1 terawatt (TW) of computing power — a scale far beyond what the world currently produces. Tesla thanked existing chip suppliers and encouraged them to expand output where possible, but said the widening supply-demand gap is the core reason Terafab exists. The vertically integrated plant will span more than 100 million square feet and cover manufacturing, packaging and testing of advanced logic and memory chips. Co-locating those processes, Tesla said, supports rapid iteration and accelerates the deployment of new computing power.1820
Elon Musk2026-08-06 15:54:24Musk Says TeraFab's AI Compute Output Split: 25% Tesla Optimus, 75% AI SpacecraftTesla CEO Elon Musk said he roughly estimates that about 25% of TeraFab's AI compute output is used for Tesla's Optimus robot, and about 75% is used for AI spacecraft. Musk described the figures as a rough estimate. The information was reported by Jinshi. The allocation covers Tesla's Optimus and AI spacecraft efforts.2000
Tesla2026-08-06 14:07:09Tesla: Chip Demand From Tesla and SpaceX Will Far Exceed Global SupplyTesla said on Aug 6 that TeraFab will be built in Grimes County, Texas. The number of chips needed by Tesla and SpaceX will far exceed both current and future global production capacity, according to Jinshi.1670
Elon Musk2026-07-24 10:35:18Musk folds xAI into SpaceX as SpaceXAI, leases Colossus capacity to AnthropicElon Musk said xAI will no longer operate as a standalone company and has been renamed SpaceXAI under SpaceX. On the same day, Colossus 1 was leased to Anthropic and a major Texas chip project, Terafab, was unveiled.580
Intel2026-07-24 09:50:19Intel Joins Musk’s Terafab Project to Build Terawatt-Scale AI Chip CapacityIntel has joined Elon Musk’s Terafab chip project, partnering with SpaceX, xAI, and Tesla on a manufacturing system aimed at terawatt-scale annual AI compute output in Austin, Texas.220
Elon Musk2026-07-24 03:35:15Musk Unveils Terafab: $25 Billion Texas Chip Plant Targets 70% of TSMC CapacityMusk says Tesla, SpaceX, and xAI will back Terafab, a vertically integrated chip plant in Texas with a planned $20 billion to $25 billion investment and an eventual output he claims could reach 70% of TSMC’s global capacity.770
Terafab2026-07-23 23:30:15Terafab Targets Taiwan Chip Talent With High-Pay 2nm and CoWoS RolesTerafab has posted nine senior engineering jobs in Taiwan focused on sub-7nm, 2nm, and CoWoS experience, with annual pay reaching NT$7 million to NT$8 million. The openings reportedly drew more than 100 resumes in two weeks.510
Elon Musk2026-07-23 14:35:15Musk Drops Terafab Details: $3B R&D Fab at Giga Texas, Intel 14A, All Under One RoofElon Musk revealed Terafab's R&D fab will be built at Giga Texas with a $3B budget using Intel 14A, integrating mask, logic, memory, and packaging in one building. SpaceX will handle the scale-up phase.460
