Tesla Terafab Semiconductor Fabrication Plant

planned

Tesla, SpaceX, and its subsidiary xAI are jointly running Terafab, a semiconductor fabrication plant aiming to bring all aspects of chip production under one roof. The facility is intended to produce up to 1 terawatt of compute annually, manufacturing inference chips for Tesla's Robotaxis and Optimus robots, as well as custom AI chips for space-based applications including solar-powered AI satellites. The project is estimated to cost between $35 billion and $45 billion in capital expenditure, likely shared between Tesla and SpaceX. The exact location is under consideration, with several locations being evaluated, and it is expected to be far bigger than everything else combined on the Giga Texas campus, requiring thousands of acres.