Intel (NASDAQ:INTC) will continue working with Elon Musk on the planned Terafab semiconductor manufacturing project, Chief Executive Lip-Bu Tan told Bloomberg.
The comments follow Musk’s disclosure earlier this week that discussions were taking place with Taiwan Semiconductor Manufacturing Co. (NYSE:TSM) regarding potential cooperation on Terafab. Intel joined the project as a development partner in April.
Tan said Intel would remain involved in Terafab ahead of an event in Tokyo marking the US chipmaker’s 50th year of operations in Japan, according to Bloomberg.
Details of how Intel’s role would operate alongside any potential involvement by TSMC have not been disclosed.
Terafab Plans Two Semiconductor Factories
Terafab is a planned collaboration involving Tesla, SpaceX and xAI focused on semiconductor manufacturing for artificial intelligence and other applications.
The project is expected to include two factories. One would produce chips for Tesla vehicles and humanoid robots, while the other would support artificial intelligence data centres in space.
The project ultimately targets annual computing capacity of one terawatt.
Terafab forms part of wider investment in semiconductor manufacturing capacity as companies and governments respond to increasing demand for chips used in artificial intelligence infrastructure.
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