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.
AI Satellite Production Building: Breaking ground mid-2026 ... Comparable Scale: More than 10x larger than Starfactory, SpaceX’s current largest spacecraft manufacturing site · Developer/Owner: SpaceX (Space Exploration Technologies Corp.) ... Strategic Partners (Terafab chip supply chain): Tesla and xAI — co-developers of the Terafab semiconductor facility in Austin, Texas, targeting 2nm chip production
The early months of 2026 were busy for Elon Musk. The Texas billionaire oversaw the merger of SpaceX and xAI, announced plans for Tesla Inc.’s Terafab chip factory and continued working toward taking SpaceX public in a massive initial public offering.
The Terafab semiconductor manufacturing facility represents perhaps the most strategically significant development in the Tesla-SpaceX relationship, serving as both a commercial bridge and a technological moat for both companies. Announced in March 2026, this $25 billion joint venture between ...
Elon Musk has revealed plans for ... but they would both be small compared to Musk's planned Terafab factory even farther out in rural Texas.Screenshot of X · By Justin Sayers – Senior Staff Writer, Austin Business Journal...
In its S-1 filing (2) with the Securities and Exchange Commission, SpaceX outlined Terafab, a chip manufacturing initiative with a long-term goal of producing one terawatt of compute hardware each year.
Fox Business reported that Musk said Terafab will be two fabs in Austin, Texas, with one focused on Tesla chips and the other on chips for SpaceX’s space-based data centers. Fox Business also reported that Musk said the project is meant to meet demand for computing power that the companies cannot get from outside suppliers.
ASML (NASDAQ:ASML | ASML Price Prediction) sits at the top because Terafab can’t fabricate cutting-edge logic without extreme ultraviolet (EUV) lithography, and ASML is the sole supplier. CEO Christophe Fouquet noted that “the semiconductor industry’s growth outlook continues to solidify, driven by ongoing AI-related infrastructure investments.
Musk’s answer is what he calls “Terafab” — a massive, vertically integrated manufacturing complex aimed at producing AI logic chips, HBM-class memory, and advanced packaging under one roof.
SpaceX CFO Bret Johnsen said the initial orbital data centers will use Nvidia hardware, while longer-term versions are expected to rely on radiation-hardened chips from Terafab, the semiconductor project SpaceX is developing with Tesla and Intel.
ASML shares slipped 0.44% to €1,501.80 after a sharp AI-fueled rally, as investors shift focus from Elon Musk’s Terafab praise to whether it will drive real equipment