[DigitalToday reporter Jinju Hong] Elon Musk (일론 머스크) said the semiconductor plant 'Terafab' being pursued in Texas will be built and operated directly by Tesla and SpaceX.

Cryptopolitan, a blockchain media outlet, reported on Oct. 7 local time. In a post on X, formerly Twitter, Musk denied market speculation that TSMC could take over the project or participate broadly in its operations.

Musk said, "There is ZERO doubt about that." He also narrowed the scope of discussions with TSMC. He said, "Maybe TSMC subleases part of the Terafab if they want, but nothing more than that."

The remarks came after Musk told followers a few days earlier that he was in talks with TSMC about Terafab. After that, speculation emerged that TSMC could be more deeply involved in the project overall, but Musk drew a line himself.

Instead, Intel remains the core axis of technology cooperation for Terafab. Intel CEO Lip-Bu Tan (립부 탄) said via Bloomberg that Intel will continue the proposed semiconductor plant cooperation with Musk. Intel joined the project as a partner in April 2026.

Terafab aims to build an advanced chip supply chain for several of Musk's businesses. Intended recipients include Tesla vehicles and its robotics business, as well as SpaceXAI, which combines SpaceX and xAI. The plant is set to include two production facilities. One will focus on chips for Tesla vehicles and humanoid robots, and the other will handle hardware for space-based AI data centers. The final goal is to secure about 1 terawatt of computing capacity per year.

TSMC has not completely withdrawn from Texas. TSMC is reported to be reviewing a new semiconductor production campus in Texas as it expands production in the United States. Nvidia and Apple are mentioned as customers.

Against this backdrop, competition for semiconductor investment in Texas is also intensifying. Samsung Electronics is also developing a plant locally, and Terafab would add further production capacity. Reuters previously reported that SpaceX and Tesla planned to invest an initial $16.8 billion in the Terafab project.

Ultimately, Musk's remarks clarified Tesla and SpaceX as the operators of Terafab. TSMC's role is limited to the possibility of using space through subleasing, while Intel remains a technology cooperation partner backing the plant.

@herbertong @thejefflutz No, we will build and run the fab. Let there be ZERO doubt about that. Maybe TSMC subleases part of the Terafab if they want, but nothing more than that.