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Elon Musk has announced the launch of a massive semiconductor project in Austin, Texas, dubbed "Terafab," aimed at internalizing chip production for his expanding ecosystem of AI, robotics, and aerospace ventures.
The facility, which will be jointly operated by Tesla Inc (NASDAQ:TSLA) and SpaceX, is designed to bypass what Musk characterized as a sluggish global semiconductor industry unable to meet his aggressive scaling requirements.
The project targets the eventual support of a terawatt of computing power annually, facilitating the transition toward autonomous driving, humanoid robotics, and space-based data centers.
Around 33 minutes starts the compute needed and the Terafab chip buildout:
"Assume that Columbus the navigator monopolized ships, monopolized new energy (oil vs. coal), and monopolized collaboration opportunities among navigators. How should the New World be valued?"
UPDATE — March 22, 2026,xAI, located near Gigafactory Texas.