Musk confirmed talks to put TSMC inside his own Texas chip plant.
Elon Musk confirmed on Saturday that his chip venture Terafab is talking to TSMC. The $16.8 billion Texas plant would make chips only for Tesla, SpaceX and xAI. Musk wrote that these are just discussions, and TSMC has announced nothing.
Why it mattersThe company that makes almost every leading AI chip may end up running Musk's plant. More chip capacity is what eventually ends the shortages behind usage limits.