Elon Musk's companies, including Tesla and SpaceX, have initiated legal proceedings in a US federal court regarding the naming of their upcoming semiconductor facility, Terafab. The project, announced in March, is intended to be the world's largest site for manufacturing processors for AI, humanoid robots, electric vehicles, and space projects in Texas.
The dispute arose after Tera-Print, an Illinois-based manufacturer of photolithography equipment, claimed rights to the TERA-FAB brand. In May, Tera-Print demanded that Musk's entities cease using the Terafab name, alleging trademark infringement and unfair competition, arguing that the similarity could confuse customers regarding the origin of products.
In their lawsuit, Tesla and SpaceX argue that there is minimal risk of confusion between the two entities. They contend that their facility is a large-scale industrial factory for mass-producing semiconductors, whereas Tera-Print focuses on specialized lithography equipment for laboratory and bioengineering applications.
The companies further emphasize that Tera-Print does not engage in the design or mass production of logic chips or memory devices. The federal court must now determine whether the two brands can coexist or if the use of the Terafab name by Musk's companies constitutes a violation of existing trademark rights.
