This is the size difference between Tesla’s Giga Texas factory and Terafab.
Terafab will be 10x the size of what is already one of the biggest factories in the world.
The scale is unfathomable
Elon is about to add $1 trillion of GDP to the Texas economy. That is a 33% increase! (It is a 3% increase to the national GDP). This is unprecedented in scale and nothing has ever been done like this.
A new $125 million @Tesla Megapack battery energy storage facility just went live in Texas.
The 250 MW/500 MWh battery in Needville, Texas, has reached commercial operations and is fully integrated into the ERCOT grid. It's co-located next to a 430 MW solar project.
To help understand the scale of @Tesla/@SpaceX’s Terafab, here’s a rough comparison to Tesla’s Giga Texas factory.
GFTX: 10M Sq Ft
Terafab: 100M+ Sq Ft
Peter Diamandis: @SpaceX has the potential to become the world’s first $10 trillion company
“Well, if anybody can do it, Elon can. I think this has the potential to really be the first $10 trillion company out there and growing. He’s building civilizational-level infrastructure. The challenge is, I don’t think the market knows how to value this company. It’s not a company, it’s really four different businesses wrapped into one vertical, and you have to look at each individually.
“The first business is global communications with Starlink. Starlink is going to deliver global gigabit connectivity to the entire planet, billions of individuals. They’re just making a dent right now. Then they’re going direct satellite-to-cell phone. As Gwynne said on the earnings call yesterday, that’s a $600 billion level of revenue potential, and they expect to take a chunk of that.
“The second business is delivering AI compute. They’ve already signed up $20 billion in annualized revenue, and they’re building faster than anybody else. They announced two gigawatts of compute by the end of this year and are shooting for upwards of 10 gigawatts next year… Elon said they’re launching their first AI satellites in partnership with Nvidia in 2027, much faster than anybody thought.”
This is the render for TERAFAB in Grimes County, Texas!
It will exceed 100 million square feet, require an initial $16.8 billion investment, employ at least 3,000 people, and produce chips for Optimus, Cybercabs, and SpaceX space-based data centers.
Does your city have these?
Seattle City Light Utility has been installing these all over the city. They are hidden high up on the pole on residential streets. You access it via an app, the cable lowers and you plug in at a low cost. When you’re done, the cable retracts back into the box.
The first phase of the Terafab project will create 3,000 new jobs and generate a capital investment of $16.8B+.
Texas is where big ideas grow even bigger.
SpaceX just unveiled the most ambitious industrial projects ever attempted
Terafab will be built in Grimes County, Texas and it is not going to be just another semiconductor factory
It is planned to become the largest chip manufacturing facility on Earth, with more than 100 million square feet of manufacturing space
The scale is even difficult to comprehend:
• Approximately $16.8 billion for the initial phase
• At least 3,000 permanent jobs
• Logic, memory, advanced packaging and testing under one roof
• Chips built for Tesla Optimus and autonomous Cybercabs
• High-power chips designed for SpaceX’s orbital data centers
• A long-term target of producing 1 terawatt of compute hardware every year
Why build something this enormous?
Because the combined chip demand from Tesla and SpaceX is expected to exceed 1 terawatt of compute - significantly more than the current global supply can support
Instead of waiting for the semiconductor industry to catch up, SpaceX and Tesla are building the missing capacity themselves
Tesla is scaling autonomous vehicles and billions of Optimus robots
SpaceX is building rockets, satellites and space-based AI infrastructure
Terafab will manufacture the silicon beneath all of it
This is vertical integration at a scale we have never seen before:
- Build the chips
- Build the robots
- Build the vehicles
- Build the rockets
- Launch the compute into orbit
Most factories are designed around the needs of today
Terafab is being designed for a future civilization operating across Earth, orbit and eventually the entire solar system
This is literally sci-fi becoming industrial reality
https://t.co/vMiVEv5x2E