SpaceX is preparing to file for an initial public offering (IPO) that could value the aerospace company at more than $1.75 trillion, among the largest IPOs in history.
iStock/Sven Piper
Space Exploration Technologies Corp. (SpaceX) and Tesla Inc. have plans to construct two high-tech chip factories at an expansive site in Austin, Texas, Elon Musk, who owns both companies, announced over the weekend.
“Terafab,” as the complex will be called, “will technically be two fabs, each making only one chip design,” Musk wrote in a post on X. One plant will produce chips for Tesla vehicles and Optimus humanoid robots, while the other is intended for AI satellites in space.
In a presentation at an Austin facility on Saturday, Musk said that Terafab was necessary because “current global chip production would meet only a small fraction of his companies’ future needs,” Reuters reported.
“Either we make Terafab or we will be stuck at the ~20% chip/memory output growth per year of the current industry,” Musk noted in the X post.
Terafab would be capable of generating one terawatt of computer capacity per year, compared with the half a terawatt now produced across the entire U.S., Musk said. However, he did not specify a time frame for the completion of the ambitious project.
SpaceX is preparing to file for an initial public offering (IPO) that could value the aerospace company at more than $1.75 trillion, among the largest IPOs in history, Bloomberg reported last month.
Subscribe to our twice-weekly, FREE newsletter for the latest manufacturing news and information, including new technologies, educational webinars, podcasts and more.
