Elon Musk said Tesla and SpaceX will take direct responsibility for building and operating the planned Terafab semiconductor facility in Texas, pushing back against speculation that Taiwan Semiconductor Manufacturing Co. could eventually own and manage the project.
Terafab is a proposed chipmaking complex being developed by Musk’s companies to produce advanced artificial intelligence processors for their expanding technology requirements. Musk described the project as a major fabrication facility intended to support the companies’ growing demand for AI computing hardware.
Responding to a post on X suggesting that TSMC was likely to operate the facility, Musk said Tesla and SpaceX would build and run the fab. He added that TSMC could potentially sublease a portion of the facility if it chose to participate, but would not have a broader operating role.
Musk’s comments follow discussions between his companies and TSMC about possible cooperation on the project. He said last week that the two sides had held talks but did not provide details about the nature or potential scope of the collaboration.
Intel is also involved in the Terafab initiative. Intel CEO Lip-Bu Tan said on Wednesday that the U.S. chipmaker would continue participating in the project, according to Bloomberg News.
The respective roles of Intel and TSMC could become an important consideration as Musk develops the structure of the proposed facility and determines how different technology partners may contribute.
The Terafab plan comes as Tesla and SpaceX seek greater access to AI chips for applications ranging from autonomous driving and robotics to other large-scale computing projects. Building dedicated manufacturing capacity would potentially give Musk’s companies greater control over an important part of their AI hardware supply chain.
TSMC and Intel had not immediately commented on Musk’s latest statements when the report was published. The project’s final structure, including the extent of involvement from outside chipmakers, remains subject to further discussions.
