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SpaceX has filed a property tax abatement application in Grimes County, Texas, for a semiconductor fab that would cost $55 billion in its initial phases and up to $119 billion if all planned expansions are completed.
SpaceX plans a $55 billion Terafab chip facility in Texas. The project will boost semiconductor production and support AI stocks growth. Significant economic impact expected with job creation and regional development.
“We either build the Terafab or we don’t have the chips, and we need the chips, so we build the Terafab,” he said at the time. The combined chip demand from Tesla’s autonomous vehicles, SpaceX’s satellite constellation, xAI’s large language models, and the Optimus humanoid robot program will exceed what existing foundries can supply.
SpaceX has one obvious advantage: ... Rockets and satellites give it hardware credibility. Starlink gives it distribution and connectivity. xAI gives it models. Cursor would give it a developer-product route. Terafab would push the group deeper into chips and computing ...
May 6 (Reuters) - Elon Musk's SpaceX has proposed an initial investment of $55 billion to build a semiconductor manufacturing facility, called Terafab, in Texas, according to a filing made public on Wednesday.
It is the language of a company trying to build the physical substrate for its own future, at a scale more often associated with state-backed industrial policy or a giant automaker than with a private aerospace firm. If SpaceX once looked like a launch company with some manufacturing attached, Terafab suggests the company now wants to be judged on its ability to own more of the supply chain that makes launches, satellites, and eventually compute possible.
SpaceX and Tesla plan to jointly invest $55 billion in Terafab, the chip factory in Texas that they hope to b...
Fourteen months later, Intel is at an all-time high, its foundry has anchor customers including Apple and Musk’s Terafab, and it is going to Computex with a product in every category for the first time in a decade. The turnaround is real, but it is also incomplete: the foundry loses 2.4 billion dollars per quarter, external revenue is 174 million dollars against TSMC’s 20 billion, and 90 per cent of the desktop chip Intel is previewing at Computex will be manufactured by the competitor it is try
Facility is designed to vertically integrate the entire chip production pipeline — design, lithography, fabrication, memory, advanced packaging, and testing — all under one roof.
Analysis: Intel, Musk advance TeraFab partnership, echoing Apple's TSMC shift · Lip-Bu Tan gets real about Intel's foundry roadmap—and what it takes to win customers · As Intel's sleeping lion stirs under Lip-bu Tan, should Samsung be more ...
Terafab will produce two types of chips: the A15 and A16 chips, optimized for edge inference in Tesla's Optimus robots and self-driving cars, and a second type of rugged, high-powered chip designed for use in orbital data centers in space.
COLLEGE STATION, Texas — Elon Musk appears to have identified a site for his massive Terafab chipmaking facility — and it's right outside of Aggieland.
The chipmaker will help Terafab's semiconductor manufacturing facility get off the ground. While the revenue impact of the Terafab collaboration is unknown, Intel's business is showing signs of a comeback.
SoftBank put in $2B. In April 2026, Intel joined Elon Musk’s Terafab project in Texas — the chip-manufacturing venture between Tesla, SpaceX, and xAI targeting one terawatt of compute per year.
Terafab is a semiconductor fabrication facility being built near Tesla’s GigaTexas site in Austin, Texas. The plant would be vertically integrated and produce one terawatt of AI compute capacity per year. It would make chips for Tesla vehicles and robots, as well as non-terrestrial chips for space-based data centers.
Intel was named as the foundry partner for Elon Musk’s Terafab, a 25 billion dollar AI chip fabrication facility in Austin that claims it will produce one terawatt of AI compute annually.
For all the Musk haters. https://www.msn.com/en-us/money/other/elon-s-terafab-is-moving-at-light-speed-and-that-could-mean-big-things-for-tesla/ar-AA22irvx
Elon Musk’s Terafab bet: what it means for Tesla investors · Bank of America revamps Tesla stock price · UBS has a message for Tesla stock investors · That sentence, now entered into the official record, is what OpenAI’s legal team has been waiting for.
TSLA's $25B+ CapEx for Terafab, Cortex, and Optimus will likely drive negative FCF and margin compression in H2-FY2026, exacerbated by one-off Q1 margin inflators.
Intel has invested heavily in its foundry division to compete directly with Taiwan Semiconductor Manufacturing, the world’s top contract chipmaker, and other major rivals, such as Samsung. However, differences in manufacturing technology have made it hard for Intel to attract large outside clients. The TeraFab deal with Tesla and a government equity stake have helped support Intel’s turnaround story, but a confirmed deal with Apple would be a much bigger sign of success for Intel’s foundry goals