From Jalopnik · Michael Frank · · 1m
SpaceX Tesla Build Terafab Texas
SpaceX and Tesla's $55 billion Texas factory will make chips for rockets and robots.
In brief
SpaceX and Tesla's $55 billion Texas factory will make chips for rockets and robots. SpaceX and Tesla are building a 100 million square foot semiconductor factory in Texas that will produce chips for Starbase rockets and Optimus robots. Originally reported by Jalopnik.
Terafab Texas Factory
SpaceX and Tesla are building a massive 100 million square foot semiconductor factory in Grimes County, Texas.
Terafab Purpose
The factory will fabricate chips for SpaceX's Starbase rockets and Tesla's Optimus robots.
Investment Amount

SpaceX plans to invest $55 billion with a potential $119 billion contingency for the Terafab project.
Intel Partnership
Intel joined SpaceX and Tesla to refactor silicon fab technology for the Terafab project.
Water and Power Concerns
The factory will draw water from Gibbons Creek Reservoir and use natural gas generators for power.
Political Controversy

Texas Governor Greg Abbott's office received $1.66 billion in tax breaks for SpaceX in exchange for Musk's $500,000 donation.
The headline
SpaceX and Tesla are building a 100 million square foot semiconductor factory in Texas that will produce chips for Starbase rockets and Optimus robots.


