Tesla's Terafab: Musk's Bold Gamble on US-Chip Independence

Elon Musk aims to build a large US-based Terafab to design and manufacture logic and memory chips for Tesla's robotaxis and Optimus, initially aiming for about 100,000 wafers per month and potentially up to 1 million, to reduce reliance on external suppliers and shield against geopolitics. Analysts warn the project is extraordinarily complex, expensive, and years-long, requiring scarce lithography equipment, highly skilled workers, and substantial funding—potentially $30–$45 billion.