---
title: "Tesla and SpaceX jointly launched the Terafab chip manufacturing facility"
type: "News"
locale: "en"
url: "https://longbridge.com/en/news/280083806.md"
description: "Tesla, SpaceX, and xAI have launched the \"Terafab\" project in Austin, Texas, planning to invest $25 billion to build the world's largest semiconductor factory. The facility will have an annual production capacity of 1 terawatt of computing power, utilizing a 2-nanometer process, with a target monthly output of 100,000 wafers, eventually expanding to 1 million wafers, and is expected to produce 100 billion to 200 billion custom AI and storage chips annually. Musk pointed out that the existing supply chain cannot meet the demand, with 80% of the computing power to be used for AI satellites in space orbit. Although this expenditure has not yet been included in the 2026 capital budget, Tesla remains committed to breaking through capacity bottlenecks"
datetime: "2026-03-23T02:01:10.000Z"
locales:
  - [zh-CN](https://longbridge.com/zh-CN/news/280083806.md)
  - [en](https://longbridge.com/en/news/280083806.md)
  - [zh-HK](https://longbridge.com/zh-HK/news/280083806.md)
---

# Tesla and SpaceX jointly launched the Terafab chip manufacturing facility

PingWest reported on March 23 that Tesla, SpaceX, and xAI jointly announced the launch of the "Terafab" project in Austin, Texas, planning to invest $25 billion to build the world's largest semiconductor factory.

Elon Musk claimed that the facility will have an annual production capacity of 1 terawatt of computing power, utilizing advanced 2-nanometer technology, covering the entire industry chain from design to packaging. The initial goal of the project is to produce 100,000 wafers per month, eventually expanding to 1 million wafers, with an expected annual output of 100 billion to 200 billion custom AI and storage chips, primarily serving autonomous driving, Optimus robots, and orbital satellites.

Musk pointed out that the current supply chain expansion rate cannot meet demand, and the Earth's total current capacity only meets 2% of the project's requirements. It is planned that 80% of the computing power will be used for space-based AI satellites, leveraging the advantages of the space environment to reduce thermal management costs. Although Tesla's Chief Financial Officer acknowledged that this massive expenditure has not yet been included in the 2026 capital budget, the company remains committed to breaking through capacity bottlenecks through self-research and production, promoting the vision of "galactic civilization."

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