Tesla and SpaceX may be planning one of the biggest semiconductor projects ever attempted.
The proposed “Terafab” project in Grimes County, Texas is reportedly expected to begin with around $16.8 billion in investment, covering roughly 100 million square feet and creating thousands of high-paying jobs.
If fully expanded, total investment could eventually reach around $119 billion.
The idea is to build a vertically integrated chip ecosystem capable of handling manufacturing, advanced packaging, and testing in one place.
Those chips could help power Tesla’s Optimus robots, Cybercab ambitions, and SpaceX’s longer-term AI infrastructure plans.
Instead of depending entirely on outside suppliers, Tesla and SpaceX appear to be pushing toward greater control over the hardware behind AI, robotics, and autonomous systems.
As AI scales, chips are becoming just as important as the models themselves.
The next technology giants may not only be the companies building AI, but the ones controll...
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