Musk: The Terafab project will be located in Austin and jointly operated by Tesla and SpaceX.

CoinFeed reported on March 22 that, according to Jiemian News, Elon Musk held a press conference for Project Terafab, announcing that this ambitious plan, aimed at eventually manufacturing its own chips for robotics, artificial intelligence, and space data centers, will be based in Austin and jointly operated by Tesla and SpaceX. Musk stated that he will first build an "advanced technology wafer fab" in Austin, equipped with the full suite of equipment needed to manufacture and test various types of chips. Musk said that although the semiconductor industry is increasing production, its pace of development still cannot meet his anticipated chip demand. "This pace is far below our expectations," Musk said. "Either we build a terawatt-scale factory, or we don't have any chips available, and we need these chips, so we're building a terawatt-scale factory." Musk's project aims to support 1 terawatt of computing power annually in the future.