Saturday, August 8, 2026

SpaceX and Tesla confirm $16.8B Terafab chip plant in Texas

SpaceXTesla

Tesla and SpaceX confirmed on August 6 that their jointly developed Terafab semiconductor factory will be built in Grimes County, Texas, with an initial phase of $16.8 billion in investment and at least 3,000 jobs planned. The vertically integrated, 100-million-square-foot facility is designed to make, package and test advanced logic and memory chips to supply Tesla's Optimus robots and Cybercabs as well as SpaceX's space-based AI data centers, with total investment potentially reaching $119 billion if further phases proceed.