TSMC is ready to discuss joining Musk's Terafab project, but the fab must be run by TSMC
Prepared by Sintelligent with the help of SI. Published in SI: . Updated: .
Musk wants his own fab and TSMC wants to run it itself, and there is no agreement yet.
According to The Next Web, citing Bloomberg, TSMC chief executive C.C. Wei said on the quarterly earnings call that the company is ready to work with Terafab (a joint project of Tesla, SpaceX and xAI; its first phase, $16.8 billion in Grimes County, Texas, has been under construction since August), but a fab with its participation must be run by TSMC: "We are still in discussion, but the fab got to be run by TSMC." Wei said large US customers are asking for more capacity and TSMC has sent teams to look for a site in Texas beyond Arizona. On October 7, Musk wrote on X that Tesla and SpaceX will build and operate the plant themselves and that TSMC "may sublease part of it." Intel, according to its chief executive Lip-Bu Tan as told to Bloomberg, remains in the project and is to supply the 14A process. No agreement has been reached.
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