Tesla Terafab set for launch: Inside the $20B AI chip factory that will reshape the auto industry
Tesla is set to launch its Terafab Project on March 21, a $20 billion facility at Giga Texas aimed at producing 100-200 billion AI and memory chips annually using 2nm tech. The fab will target the AI5 chip for FSD and Optimus, enabling vertical integration from silicon to autonomy. This reduces reliance on TSMC and Samsung amid massive scaling needs for robotaxis and humanoids.
Tesla's in-house mega-fab could secure unlimited AI compute for its robotics empire, positioning it as a chip powerhouse.