Musk says Tesla’s mega AI chip fab project to launch in seven days

Musk says Tesla’s mega AI chip fab project to launch in seven days

Musk says Tesla’s mega AI chip fab project to launch in seven days

https://www.reuters.com/business/autos-transportation/musk-says-teslas-gigantic-chip-fab-project-launch-seven-days-2026-03-14/

Publish Date: 2026-03-14 10:01:00

Source Domain: www.reuters.com

  • Elon Musk announced that Tesla’s Terafab project to manufacture artificial intelligence chips will launch in seven days.
  • Tesla is developing its fifth-generation AI chip, AI5, to support its autonomous vehicle ambitions.
  • Musk had implied last year that Tesla might need to construct a large-scale chip fabrication facility, or “terafab,” given chip demand would outweigh supply from current suppliers.
  • Musk had hinted at potential collaboration with Intel but mentioned that no agreements have been signed and discussions with Intel remain open.
  • Tesla is partnering with Taiwan’s TSMC and South Korea’s Samsung to fulfill its AI chip needs for autonomous driving systems.
  • Musk emphasized that even in the best-case scenario, the chips from current suppliers still aren’t enough for Tesla’s requirements.
  • Specific details about the Terafab project were not immediately available, with no response from Tesla to requests for further information.