--- title: Musk’s Terafab: 1 300 Loftus Versfeld pitches under one roof description: Ground has broken near Houston on Terafab, a Tesla-SpaceX joint venture that Elon Musk claims will be the largest building ever constructed, aiming for a full... canonical: https://daily.dev/posts/musk-s-terafab-1-300-loftus-versfeld-pitches-under-one-roof-z5fnlpjjx twitter:card: summary_large_image twitter:site: @dailydotdev og:type: website og:site_name: daily.dev og:title: Musk’s Terafab: 1 300 Loftus Versfeld pitches under one roof | daily.dev og:description: Ground has broken near Houston on Terafab, a Tesla-SpaceX joint venture that Elon Musk claims will be the largest building ever constructed, aiming for a full... og:url: https://daily.dev/posts/musk-s-terafab-1-300-loftus-versfeld-pitches-under-one-roof-z5fnlpjjx og:image: https://api.daily.dev/og/posts/Z5fnlPjJX.png og:image:alt: Musk’s Terafab: 1 300 Loftus Versfeld pitches under one roof og:image:width: 1200 og:image:height: 630 og:locale: en --- > ## Documentation Index > Fetch the complete documentation index at: https://daily.dev/llms.txt > Use this file to discover all available pages before exploring further. # Musk’s Terafab: 1 300 Loftus Versfeld pitches under one roof **[TechCentral](https://daily.dev/sources/techcentral)** · 4 min read · 0 upvotes · 0 comments ## Summary Ground has broken near Houston on Terafab, a Tesla-SpaceX joint venture that Elon Musk claims will be the largest building ever constructed, aiming for a full terawatt of chip-making compute a year. The complex will span roughly 9.3 million square metres across four phases, with committed spending of $16.8-billion for phase 1 and filings pointing to as much as $119-billion total. Intel is the technology partner via its 14A process, though it has not publicly confirmed a binding deal. The plant will run on on-site natural gas and battery storage rather than the Texas grid. Analysts remain skeptical: one semiconductor analyst puts the odds it never happens at 80%, noting neither company has run a fab before, while nearly 900 local residents have petitioned for water and environmental guarantees. ## Full article daily.dev links to this article rather than hosting it. Read it at the original source: ## Questions this post answers ### What is Elon Musk's Terafab project and how big is it supposed to be? Terafab is a joint venture between Tesla and SpaceX to build what Musk calls the largest building ever constructed, near Houston, Texas, to manufacture AI chips for Tesla, SpaceX, and xAI. Across four planned phases it would span roughly 9.3 million square metres, with the largest building running about 4km end to end, targeting a full terawatt of compute per year. _daily.dev surfaces coverage like this for developers tracking AI chip supply and compute infrastructure trends._ ### How much has Tesla and SpaceX committed to fund the Terafab chip factory? Tesla and SpaceX have committed $16.8-billion to phase 1 of Terafab, with filings pointing to as much as $119-billion across all four phases. The cost estimate has shifted four times in five months, starting at $20-25 billion at launch, rising to $55-billion in SpaceX's May listing prospectus, before settling on the current phase 1 and total figures. _daily.dev keeps builders informed on large-scale compute investments shaping future chip availability._ ### Is Intel involved in building chips for Elon Musk's Terafab factory? Intel is named as Terafab's technology partner, with Tesla reported as the first major customer for Intel's 14A (1.4-nanometre) process. Intel has committed to high-volume 14A production by 2028, but it has not publicly confirmed a binding deal with Terafab, and semiconductor analyst Mark LaPedus puts the odds the project never happens at 80%. _daily.dev helps engineers weigh vendor commitments like this before betting on future chip supply._ ## Similar posts on daily.dev - [Tesla and SpaceX will invest $16.8B to start building ‘Terafab’ chip factory in Texas](https://daily.dev/posts/tesla-and-spacex-will-invest-16-8b-to-start-building-terafab-chip-factory-in-texas-5hmdmwcsw) · TechCrunch · 7 upvotes · 3 comments - [TSMC is open to working on Musk’s Terafab but says it must run the fab](https://daily.dev/posts/tsmc-is-open-to-working-on-musk-s-terafab-but-says-it-must-run-the-fab-yordh4ina) · The Next Web · 3 upvotes · 2 comments - [Elon Musk unveils chip manufacturing plans for SpaceX and Tesla](https://daily.dev/posts/elon-musk-unveils-chip-manufacturing-plans-for-spacex-and-tesla-qnbywr4ri) · TechCrunch · 0 upvotes · 0 comments --- Tags: [#intel](https://daily.dev/tags/intel), [#tesla](https://daily.dev/tags/tesla), [#spacex](https://daily.dev/tags/spacex) [View this post on daily.dev](https://daily.dev/posts/musk-s-terafab-1-300-loftus-versfeld-pitches-under-one-roof-z5fnlpjjx) ```json {"@context":"https://schema.org","@graph":[{"@type":"Organization","@id":"https://daily.dev/#organization","name":"daily.dev","url":"https://daily.dev","logo":{"@type":"ImageObject","url":"https://daily.dev/apple-touch-icon.png","width":180,"height":180},"sameAs":["https://twitter.com/dailydotdev","https://github.com/dailydotdev","https://www.linkedin.com/company/daily-dev-ltd"]},{"@type":"WebSite","@id":"https://daily.dev/#website","url":"https://daily.dev","name":"daily.dev","publisher":{"@id":"https://daily.dev/#organization"},"potentialAction":{"@type":"SearchAction","target":{"@type":"EntryPoint","urlTemplate":"https://daily.dev/search?q={search_term_string}"},"query-input":"required name=search_term_string"}}]} {"@context":"https://schema.org","@type":"TechArticle","headline":"Musk’s Terafab: 1 300 Loftus Versfeld pitches under one roof","url":"https://daily.dev/posts/musk-s-terafab-1-300-loftus-versfeld-pitches-under-one-roof-z5fnlpjjx","mainEntityOfPage":{"@type":"WebPage","@id":"https://daily.dev/posts/musk-s-terafab-1-300-loftus-versfeld-pitches-under-one-roof-z5fnlpjjx"},"datePublished":"2026-08-13T18:04:53.526Z","dateModified":"2026-08-13T18:05:55.803Z","description":"Ground has broken near Houston on Terafab, a Tesla-SpaceX joint venture that Elon Musk claims will be the largest building ever constructed, aiming for a full...","image":"https://media.daily.dev/image/upload/f_auto,q_auto/v1/posts/1aa87199ab5fc4fae02969f41493befe?_a=AQAEuop","thumbnailUrl":"https://media.daily.dev/image/upload/f_auto,q_auto/v1/posts/1aa87199ab5fc4fae02969f41493befe?_a=AQAEuop","isAccessibleForFree":true,"articleSection":"TechCentral","inLanguage":"en","publisher":{"@type":"Organization","name":"daily.dev","url":"https://daily.dev","logo":{"@type":"ImageObject","url":"https://daily.dev/apple-touch-icon.png","width":180,"height":180}},"author":{"@type":"Organization","name":"TechCentral","logo":"https://media.daily.dev/image/upload/s--RsqLDZrL--/f_auto/v1717745297/logos/techcentral","url":"https://daily.dev/sources/techcentral"},"commentCount":0,"discussionUrl":"https://daily.dev/posts/musk-s-terafab-1-300-loftus-versfeld-pitches-under-one-roof-z5fnlpjjx","interactionStatistic":[{"@type":"InteractionCounter","interactionType":{"@type":"LikeAction"},"userInteractionCount":0},{"@type":"InteractionCounter","interactionType":{"@type":"CommentAction"},"userInteractionCount":0}],"keywords":"intel,tesla,spacex","timeRequired":"PT4M"} {"@context":"https://schema.org","@type":"BreadcrumbList","itemListElement":[{"@type":"ListItem","position":1,"name":"Home","item":"https://daily.dev"},{"@type":"ListItem","position":2,"name":"TechCentral","item":"https://daily.dev/sources/techcentral"},{"@type":"ListItem","position":3,"name":"Musk’s Terafab: 1 300 Loftus Versfeld pitches under one roof"}]} {"@context":"https://schema.org","@type":"FAQPage","@id":"https://daily.dev/posts/musk-s-terafab-1-300-loftus-versfeld-pitches-under-one-roof-z5fnlpjjx#faq","mainEntity":[{"@type":"Question","name":"What is Elon Musk's Terafab project and how big is it supposed to be?","acceptedAnswer":{"@type":"Answer","text":"Terafab is a joint venture between Tesla and SpaceX to build what Musk calls the largest building ever constructed, near Houston, Texas, to manufacture AI chips for Tesla, SpaceX, and xAI. 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