Elon Musk is moving forward with the Terafab project in Texas, a facility designed to manufacture AI chips for his companies. While Intel has been a partner since the spring of 2026, recent reports suggest Musk is also in talks with TSMC regarding the project.
Intel CEO Lip-Bu Tan confirmed that his company remains committed to the Terafab initiative. The facility is expected to utilize Intel 14A technology for advanced chip production. Intel has been expanding its contract manufacturing services to attract external clients beyond its own needs.
Musk clarified on the social network X that he intends to retain full control over the Terafab complex. He stated that TSMC would not have ownership or management rights, though he noted the possibility of the company leasing space within the facility.
The landscape of chip production for Musk's ventures is broad, as Tesla currently utilizes Samsung Electronics for its AI chip manufacturing. Samsung is also actively developing its own production site in Taylor, Texas, to support these orders.
