Construction is underway north of Tesla’s Giga Texas site in Austin as Elon Musk outlines plans for an ambitious semiconductor project he has dubbed “Terafab.”
Musk has said Tesla and SpaceX aim to build what could become the world’s largest chip manufacturing facility, potentially spanning tens of millions of square feet and supporting artificial intelligence and space-based data systems. While that larger project remains in early planning stages, the site under construction in Austin is expected to house a smaller facility focused on chip design.
Aerial views show crews grading land, laying foundations and moving materials across the site adjacent to the massive Giga Texas campus along the Colorado River.
Construction is seen north of the Tesla Giga Texas factory in Austin on Wednesday, March 25, 2026. CEO Elon Musk said Tesla and SpaceX are planning the world’s largest chip manufacturing plant, called Terafab, but said this site would be used for a smaller facility focused on chip design. (Jay Janner/Austin American-Statesman)
