Intel is joining forces with SpaceX and Tesla to build a new semiconductor factory in Texas. Intel stated its manufacturing scale will help accelerate the venture, called Terafab, toward producing vast computing power for AI and robotics. Elon Musk originally announced the SpaceX-Tesla chip partnership in March, targeting AI, satellites, and autonomous vehicles. Building a chip fab is notoriously difficult and expensive, raising questions about how the inexperienced companies would manage. Intel’s involvement provides a clear answer. The chipmaker has been seeking major customers for its foundry business. While once the U.S. silicon leader, Intel has lost ground to fabless rivals like Nvidia and AMD. Intel’s stock rose over 3% on the news. The companies did not comment by press time.
