MUSK PLANS AI CHIP MEGA-FACTORY
Elon Musk says Tesla and SpaceX will build a major chip facility in Austin to meet soaring AI demand.
The “Terafab” site will include two fabs—one for Tesla’s AI (cars, robots) and one for SpaceX’s space-based data centers. Musk says current suppliers can’t meet future needs.
He aims for the plant to produce 1 terawatt of computing power annually—about double current U.S. capacity.
No timeline was given, and the project faces execution risk, but it highlights growing pressure for in-house chip production.