Tesla and SpaceX announce $25B 'Terafab' chip factory - here's why it reeks of desperation
Electrek • • business
Key Points:
- Tesla, SpaceX, and xAI have announced Terafab, a $25 billion chip fabrication facility in Austin, Texas, aiming to produce 1 terawatt of computing power annually and become the largest semiconductor fab ever built.
- Terafab plans to consolidate all semiconductor production stages under one roof and target 2-nanometer process technology, with an initial output of 100,000 wafer starts per month, scaling up to 1 million wafer starts monthly, representing about 70% of TSMC’s current global output.
- The facility will produce custom AI and memory chips for Tesla’s Full Self-Driving software, Cybercab robotaxi, Optimus humanoid robots, and space-based AI satellites, with 80%
