ASML and other critical semiconductor equipment suppliers expedite shipments to Musk's Terafab
Elon Musk says ASML and other semiconductor equipment suppliers are expediting deliveries for Terafab, as Tesla and SpaceX target volume chip production in Texas by late 2028 alongside a massive expansion in AI compute capacity.
Elon Musk announced that ASML and other semiconductor equipment suppliers have accelerated deliveries for Terafab, a joint semiconductor manufacturing project between Tesla and SpaceX. Musk made the disclosure during a live broadcast of SpaceX's Q3 2026 earnings call on X on October 20. He added that the company aims to produce chips commercially at Terafab's primary facility in Gibbons Creek, Texas, by Q3 or Q4 2028, acknowledging that the timeline is highly optimistic and subject to significant error bars.
Musk emphasized the significance of Terafab, stating that its advanced chip output could rank among the top 20 global country GDPs from a single physical building, with Switzerland being the 20th country in that list with a GDP of approximately $1.14 trillion. The facility will manufacture logic, memory, and advanced packaging internal architectures, aiming to produce 1 terawatt (TW) of AI computing power annually.
Terafab will use Intel's 14A manufacturing node technology and ASML's EUV lithography systems. Several South Korean equipment manufacturers are also collaborating with Tesla and SpaceX on the project.
Written by urgent.news from Tom's Hardware's reporting — not their text. Machine-written — may contain errors; check the original before relying on it.
