Elon Musk says Terafab, the Texas chip fab Tesla and SpaceX are building, will produce output that places it in the top 20 of country GDP from a single building, while TheElec reports the project is in talks with about 10 Korean suppliers. The full goal is 1 million wafers a month, about a decade away, with an initial phase of 100,000 wafers a month reportedly expected before 2030. Musk puts Terafab's cost at tens of billions of dollars through early 2028 and over $100 billion over the long run, while Tesla guides to about $20 billion of spending in 2026 and SpaceX spent $20.9 billion in 2025. The article argues that guaranteed chip supply is the main benefit, making Terafab the strongest industrial case for combining Tesla and SpaceX, though whether the “top 20” claim holds depends on how Musk counts output. The special committees at both companies have not agreed on any terms.
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TSLAElon MusksemiconductorsSpaceX
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Related tickers and likely impact
TSLA
▲ Likely positiveTesla, Inc.
Relevance: low
| Market | US stocks |
|---|---|
| Sector | Consumer Discretionary |
| Industry | Automobile Manufacturers |
| Market cap | $1.5T |
| Close on 10/23/2026 | 372.22 |
| Change that session | -0.63% |
Impact is scored by AI from the headline and may be wrong. It is not investment advice.
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