Hardware · Chip fab

Terafab

A planned semiconductor fabrication plant. Spelling: Terafab (one word). SpaceX and Tesla. Phase 1 is $16.8B.

Chip families are on the chips page. Terafab is the SpaceX and Tesla factory.

What it is

Company text (SpaceX Updates Terafab; terafab.ai): a vertically integrated advanced semiconductor fab. Logic, memory, advanced packaging, and testing under one roof. Joint SpaceX and Tesla effort for the initial phase.

Stated purpose: close the gap between global chip supply and future compute demand. Chips for Tesla Optimus and Cybercab-class edge inference, and high-power chips for SpaceX space-based data centers.

Where

Full-scale site: Grimes County, Texas (near College Station / Houston). Precursor: Tesla research fab broken ground Apr 2026 on the North Campus of Giga Texas (Austin). Both from SpaceX Updates and SpaceX sites.

Capex

Figure	Label	Source
Phase 1 ~$16.8B; >100 million sq ft planned; ≥3,000 jobs	Public company figure, Aug 2026 announcement	SpaceX Updates Terafab
Phase ~$55B; full buildout up to ~$119B	Earlier filing, May 2026 Grimes County public-hearing notice	CNBC and The Register summarizing that notice
“1 terawatt of compute per year”	Company figure	terafab.ai

Peer fab

TSMC Arizona (company): investment path $12B to $265B planned; 10 fabs, 2 advanced packaging, R&D; campus over 1,100 acres; Fab1 N4 HVM since Q4 2024. A US leading-edge foundry buildout. Merchant foundry, beside a SpaceX and Tesla plant.

Sources

SpaceX Updates, Terafab
SpaceX sites (Grimes County)
terafab.ai
TSMC Arizona
CNBC, 6 May 2026, earlier filing figures
Memphis / Colossus