Tesla, SpaceX and xAI CEO Elon Musk announced the launch of an ambitious project to produce semiconductors. As reported by the entrepreneur, on March 21, 2026, Terafab Project will start work - its own enterprise for the production of chips. The decision was made amid a dearth of high-performance AI processors, which Musk had been actively criticizing since last autumn. According to him, existing producers are failing to meet the growing needs of his companies.

The scale of the project is impressive: previously, Musk estimated the need for Tesla, SpaceX, and xAI at 100-200 billion AI accelerators annually. Terafab Project, by its name, must cover this shortfall. The entrepreneur also criticized the traditional approach to designing clean rooms in semiconductor factories. He proposed to insulate silicon plates directly rather than entire buildings, which would simplify production and reduce sterility requirements.

However, the implementation of such a large-scale task is challenged by industry realities: retooling supply chains to the new vision could take decades, whereas Musk has admitted that he plans for only one or two years. He also left open the possibility of collaboration with external producers if they could accelerate capacity expansion to the required speed. Terafab Project details should be clarified after the official launch.