Musk announced the construction of two SpaceX and Tesla chip factories in Texas

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Elon Musk announced the Terafab complex in Austin for electric vehicles and satellites. The project will provide its own production of microchips and AI processors.

Elon Musk announced that SpaceX and Tesla plan to build two advanced chip manufacturing plants in Austin, Texas. The project aims to provide the companies with their own chips for transportation, robots, and space technologies. Reuters reports this, writes UNN.

Details

According to Musk, the complex, named Terafab, will consist of two separate factories. Each of them will produce one type of chip.

The first factory will serve the needs of Tesla – for electric vehicles and Optimus humanoid robots. The second will focus on creating chips for artificial intelligence data centers and satellites.

Terafab will technically consist of two factories, each producing only one chip design

– Musk noted.

Reasons for the project and ambitions

Musk emphasized that the demand for chips is growing rapidly and already exceeds the capabilities of global production.

We either build Terafab, or we don't have chips

– he stated during the presentation.

According to his estimates, the new complex will be able to produce up to one terawatt of computing power per year, which exceeds current production figures in the United States.

Jury finds Elon Musk misled Twitter investors21.03.26, 17:14

Special attention will be paid to the creation of chips for space use, which must withstand harsh conditions and high temperatures.

Musk also thanked current suppliers – Samsung, TSMC, and Micron, but stressed that their capacities would not be sufficient in the future. The project's implementation timeline has not yet been disclosed.

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