# Tesla Terafab Targets First Test Chip by Mid-2027

> Tesla aims for first test chip by mid-2027 and volume production by Q3 2028.
- Title: Tesla Terafab Targets First Test Chip by Mid-2027 · EVwire
- Summary: Tesla aims for first test chip by mid-2027 and volume production by Q3 2028. Tesla's Terafab lab plans to produce its first test chip around May or June…
- Keywords: tesla, terafab, ai5 chip, optimus, semiconductor fab, q3 2028, mid-2027, EVwire
- Source: EVwire — https://evwire.com/p/tesla-terafab-first-test-chip-2027-volume-production-2028
- Author: Simon Alvarez
- Published: 2026-10-22T13:02:43.205+00:00
- Read time: 1 min
- Topics: tesla, terafab, ai5 chip, optimus, semiconductor fab, q3 2028, mid-2027, cars, technology, climate
## Terafab timeline
Tesla aims for first test chip by mid-2027 and volume production by Q3 2028.
## Musk's timeline
Musk said Tesla will begin commissioning machinery in first half of 2027 for first test chip around May or June 2027.
## Musk's economic claim
Musk claims Terafab will be the most valuable building in the world with economic value top 20 of countries.
## Capital investment
Musk stated Terafab requires tens of billions of capital equipment through early 2028 with long-term value north of $100 billion.
## CFO Taneja's comment
CFO Vaibhav Taneja noted Tesla has placed most orders for first set of equipment for Terafab.
## Production timeline
Musk described real production following late 2028 after initial equipment phase in mid-2027.
## Capex impact
Taneja said Terafab is not a massive impact on Tesla's capex this year but will become meaningful by 2028.
## Key takeaway

Tesla's Terafab lab plans to produce its first test chip around May or June 2027, with volume production expected by Q3 2028.