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Musk says Tesla's mega AI chip fab project to launch in seven days

Japanese vendors are unlikely to fully back Elon Musk’s Terafab project, and the reason is simple: Panasonic. After overextending resources for the Gigafactory and accepting razor-thin margins, they felt "discarded" once Tesla pivoted to in-house battery tech. For Japanese firms, being treated as a disposable tool rather than a strategic partner is the ultimate Japanese business taboo. Without a foundation of mutual trust, the Japanese ecosystem will fully support Musk.

Especially in today’s environment of acute capacity shortages, the choice for suppliers is clear. If you are a Japanese vendor with limited output, would you prioritize a long-term, high-trust partner like TSMC, or a brand-new, volatile venture from Tesla
 
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