en.Wedoany.com Report on Mar 24th, Elon Musk recently unveiled a new project jointly invested in by Tesla, SpaceX, and xAI through a livestream event. This semiconductor manufacturing facility, named Terafab, has a total investment of $25 billion and is expected to produce 1 terawatt of computing power annually. If the goal is achieved, this semiconductor factory will become the world's largest chip production center, with its capacity potentially rivaling the total global output of leading companies like TSMC, but all from a single facility.

During the event, Musk expressed gratitude to existing semiconductor suppliers such as Samsung, Micron, and TSMC. However, he noted that the pace of capacity expansion at these companies cannot meet the demands of his businesses' growth. He stated, "We hope they can scale up production as quickly as possible; we will buy all their chips. But they have a relatively stable expansion cap, which is far below our expectations. Therefore, either we build Terafab, or we face a chip shortage. Since we need chips, we decided to move forward with the Terafab semiconductor factory project."

According to related reports, Terafab will adopt advanced 2-nanometer process technology, focusing on producing inference chips for Tesla vehicles and Optimus robots, as well as custom D3 chips for orbital AI satellites. A significant portion of the factory's capacity has been allocated to these satellite projects. Musk believes these satellites can utilize solar energy more efficiently, offering distinct advantages over ground-based solar systems.