Texas Chip Project Terafab Could Cost Up to $119 Billion

The county’s commissioners court is scheduled to hold a June 3 public hearing to consider a property tax abatement agreement tied to the project. The Chronicle reported that Musk has described Terafab as a complex designed to support Tesla, SpaceX and xAI, with chipmaking capacity ultimately aimed at those companies’ automotive, AI and space-related needs.

Citi massively revamps Applied Materials stock price target - TheStreet

In March 2026, Tesla and SpaceX unveiled plans for a chip manufacturing facility called Terafab, targeting leading-edge 2-nanometer (nm) chips and designed to ultimately support up to one terawatt of compute capacity annually, according to TheStreet.

Tesla isn’t joking about building Optimus at an industrial scale: Here we go

Giga Texas already sits on 2,500 acres with over 10 million square feet of existing factory floor, and the North Campus expansion is being built to support multiple projects, including the dedicated Optimus factory, the Terafab chip fabrication facility (a joint Tesla/SpaceX/xAI venture), a Cybercab test track, road infrastructure, and supporting facilities.

Why is Tesla stock rallying today? By Investing.com

Tesla’s recent performance reflects a 19% rebound in stock value over the past month, despite a year-to-date decline. A reported SpaceX–Tesla Terafab plan, which proposes a vertically integrated chip and computing plant targeting 2nm chips with a potential investment of $55–119 billion, ...