Elon Musk has announced bold plans for a new chip-building collaboration between Tesla and SpaceX.
Bloomberg reports that Musk revealed these plans during an event in Austin, Texas, saying a facility called the “Terafab” will be located near Tesla’s headquarters and “gigafactory” in the area.
Musk explained that existing semiconductor manufacturers cannot produce chips quickly enough for his companies’ AI and robotics needs: “We either build the Terafab or we don’t have the chips, and we need the chips, so we build the Terafab.”
The Terafab aims to produce chips capable of supporting 100 to 200 gigawatts of computing power per year on Earth and a terawatt in space, although no timeline was given.
While Musk lacks experience in semiconductor manufacturing, he is known for often overpromising on goals and timelines, as noted by Bloomberg.