---
title: "SpaceX Eyes $119B Texas Chip Plant as Musk Moves to Lock Down AI Supply"
type: "News"
locale: "en"
url: "https://longbridge.com/en/news/285373361.md"
description: "Elon Musk's SpaceX is planning a $119 billion chip plant in Texas, as detailed in a public notice from Grimes County. The facility aims to create a vertically integrated semiconductor manufacturing site to support SpaceX, Tesla, and Musk's AI initiatives. This project is part of Musk's Terafab plan, emphasizing the critical need for chips in their operations."
datetime: "2026-05-06T11:50:06.000Z"
locales:
  - [zh-CN](https://longbridge.com/zh-CN/news/285373361.md)
  - [en](https://longbridge.com/en/news/285373361.md)
  - [zh-HK](https://longbridge.com/zh-HK/news/285373361.md)
---

# SpaceX Eyes $119B Texas Chip Plant as Musk Moves to Lock Down AI Supply

Elon Musk's **SpaceX** is taking early steps toward a huge chip plant in Texas, with a plan that could cost as much as $119 billion over time.

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The plan was laid out in a public notice posted by Grimes County, Texas. SpaceX said it wants to build a "next generation, vertically integrated semiconductor manufacturing and advanced computing fabrication facility" near Gibbons Creek Reservoir.

The site is tied to Musk's Terafab plan, which he first laid out in March. The idea is to build a chip base that could serve SpaceX, Tesla Inc. (TSLA), and Musk's other AI and robot plans.

Musk framed the need in simple terms. "We either build the Terafab, or we don't have the chips, and we need the chips, so we build the Terafab," he said.

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