{"id":119851,"date":"2025-11-07T04:09:08","date_gmt":"2025-11-07T04:09:08","guid":{"rendered":"https:\/\/www.newsbeep.com\/il\/119851\/"},"modified":"2025-11-07T04:09:08","modified_gmt":"2025-11-07T04:09:08","slug":"elon-musk-says-tesla-needs-gigantic-chip-fab-for-its-ai-and-robotics","status":"publish","type":"post","link":"https:\/\/www.newsbeep.com\/il\/119851\/","title":{"rendered":"Elon Musk says Tesla needs \u201cgigantic chip fab\u201d for its AI and robotics"},"content":{"rendered":"<p>Tesla CEO Elon Musk attends the Saudi-U.S. Investment Forum, in Riyadh, Saudi Arabia, May 13, 2025. <\/p>\n<p>Hamad I Mohammed | Reuters<\/p>\n<p><a href=\"https:\/\/www.cnbc.com\/quotes\/TSLA\/\" rel=\"nofollow noopener\" target=\"_blank\">Tesla<\/a> CEO Elon Musk says the company will likely need to build a &#8220;gigantic&#8221; semiconductor fabrication plant to keep up with its artificial intelligence and robotics ambitions.<\/p>\n<p>&#8220;One of the things I&#8217;m trying to figure out is \u2014 how do we make enough chips?&#8221; Musk said at Tesla&#8217;s annual shareholders meeting Thursday.<\/p>\n<p>Tesla currently relies on contract chipmakers <a href=\"https:\/\/www.cnbc.com\/quotes\/2317-TW\/\" rel=\"nofollow noopener\" target=\"_blank\">Taiwan Semiconductor Manufacturing Company<\/a> and Samsung Electronics to produce its chip designs and Musk said he was also considering working with Intel.\u00a0<\/p>\n<p>&#8220;But even when we extrapolate the best-case scenario for chip production from our suppliers, it&#8217;s still not enough,&#8221; he said.<\/p>\n<p>Tesla would probably need to build a &#8220;gigantic&#8221;\u00a0 chip fab, which Musk described as a &#8220;Tesla terra fab.&#8221; &#8220;I can&#8217;t see any other way to get to the volume of chips that we&#8217;re looking for.&#8221;\u00a0<\/p>\n<p>Microchips are the brains powering almost all modern technologies, from smartphones and cars to robotics. Demand has surged amid the AI boom.\u00a0<\/p>\n<p>Tech giants, including Tesla, have been clamoring for more supply from chipmakers like TSMC \u2014 the world&#8217;s largest and most advanced chipmaker.\u00a0<\/p>\n<p>According to Musk, Tesla&#8217;s potential fab&#8217;s initial capacity could reach 100,000 wafer starts per month and eventually scale up to 1 million. In the semiconductor industry, wafer starts per month is a measure of how many new chips a fab produces each month.<\/p>\n<p>For comparison,<a href=\"https:\/\/www.tsmc.com\/english\/dedicatedFoundry\/manufacturing\/fab_capacity#:~:text=TSMC&#039;s%20manufacturing%20facilities%20have%20an%20annual%20capacity,Limited%20TSMC&#039;s%20facilities%20are%20located%20in%20Taiwan.\" target=\"_blank\" rel=\"nofollow noopener\"> TSMC says<\/a> its annual wafer production capacity reached 17 million in 2024, or around 1.42 million wafer starts per month.<\/p>\n<p>Musk&#8217;s statements underscore Tesla&#8217;s shift into AI and robotics \u2014 industries the CEO sees as the future of the global economy.\u00a0<\/p>\n<p>&#8220;With AI and robotics, you can actually increase the global economy by a factor of 10, or maybe 100. There&#8217;s not, like, an obvious limit,&#8221; Musk said at the shareholder meeting.\u00a0<\/p>\n","protected":false},"excerpt":{"rendered":"Tesla CEO Elon Musk attends the Saudi-U.S. Investment Forum, in Riyadh, Saudi Arabia, May 13, 2025. Hamad I&hellip;\n","protected":false},"author":2,"featured_media":119852,"comment_status":"","ping_status":"","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[20],"tags":[345,343,344,354,114,357,350,76400,85,46,6361,11773,125,12520],"class_list":{"0":"post-119851","1":"post","2":"type-post","3":"status-publish","4":"format-standard","5":"has-post-thumbnail","7":"category-artificial-intelligence","8":"tag-ai","9":"tag-artificial-intelligence","10":"tag-artificialintelligence","11":"tag-breaking-news-technology","12":"tag-business","13":"tag-business-news","14":"tag-elon-musk","15":"tag-hon-hai-precision-industry-co-ltd","16":"tag-il","17":"tag-israel","18":"tag-robotics","19":"tag-samsung-electronics-co-ltd","20":"tag-technology","21":"tag-tesla-inc"},"_links":{"self":[{"href":"https:\/\/www.newsbeep.com\/il\/wp-json\/wp\/v2\/posts\/119851","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.newsbeep.com\/il\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.newsbeep.com\/il\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/il\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/il\/wp-json\/wp\/v2\/comments?post=119851"}],"version-history":[{"count":0,"href":"https:\/\/www.newsbeep.com\/il\/wp-json\/wp\/v2\/posts\/119851\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/il\/wp-json\/wp\/v2\/media\/119852"}],"wp:attachment":[{"href":"https:\/\/www.newsbeep.com\/il\/wp-json\/wp\/v2\/media?parent=119851"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.newsbeep.com\/il\/wp-json\/wp\/v2\/categories?post=119851"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.newsbeep.com\/il\/wp-json\/wp\/v2\/tags?post=119851"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}