# Intel is set to join Elon Musk’s Terrafab project, an all-new AI chip manufacturing complex being developed in Texas with SpaceX and Tesla.

*semiconductor · news · 2026-04-08 · Firstpost*

## Key points

- Intel has officially joined Elon Musk's Terrafab AI chip manufacturing project in Texas.
- Terrafab aims to produce 1 terawatt per year of compute for AI and robotics applications.
- Two advanced chip plants are planned in Austin: one for electric cars and robots, another for space-based AI data centers.
- Intel has secured several billion dollars in funding from Nvidia and the U.S. government, now its largest shareholder.
- Terrafab will target 2-nanometer process chips, including A15, A16, and D3 chips for robots and satellites.

**Companies:** Intel, Tesla, SpaceX
**Countries:** United States

[Read the full story on Firstpost](https://www.firstpost.com/tech/intel-partners-with-elon-musk-on-terrafab-ai-chip-manufacturing-project-heres-what-the-plans-include-13998149.html)

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