BAKU, Azerbaijan, August 6. SpaceX and Tesla will make an initial investment of $16.8 billion to build Terafab, Elon Musk's planned advanced artificial intelligence chip manufacturing complex in Grimes County, Texas, SpaceX announced on Thursday.
According to the company, Terafab is designed to help bridge the gap between the current global supply of advanced chips and the rapidly growing computing needs of SpaceX and Tesla.
SpaceX said the combined demand of the two companies is expected to exceed one terawatt of computing power, far beyond current global production capacity.
Elon Musk has previously stated that Terafab will integrate the entire semiconductor manufacturing process, including chip design, fabrication, and production.
The announcement follows Tesla's groundbreaking in April for a research fabrication facility at the North Campus of Giga Texas, which the company has described as a precursor to the larger Terafab project.
