tech
May 7, 2026
SpaceX has a $55 billion plan to build AI chips in Texas
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TL;DR
- SpaceX plans to invest at least $55 billion in a chip manufacturing plant called "Terafab" in Austin, Texas.
- The total investment could rise to $119 billion if additional phases are constructed.
- The plant will produce chips for SpaceX and Tesla, intended for AI, robotics, and space-based data centers.
- Intel has announced it will help design and build the Terafab plant.
- The project aims to produce enough chips to support up to 200 gigawatts per year of computing power on Earth and up to one terawatt in space.