Musk says his companies will build and run the Terafab AI chip complex, and TSMC could at most sublease part of it

Elon Musk wrote on X on 7 October that his companies would build and run Terafab, the chip complex planned for Grimes County, Texas, according to Tech Times and Investing.com. “We will build and run the fab,” he wrote, as quoted by Tech Times, adding: “Let there be ZERO doubt about that. Maybe TSMC subleases part of the Terafab if they want, but nothing more than that.”

Investing.com reports that Musk had confirmed talks with TSMC at the weekend, after the Culpium newsletter first reported them, and that Intel chief executive Lip-Bu Tan told Bloomberg that Intel would remain involved in the project.

Shares moved on the news. Investing.com reported Intel up about 1.6% before the US open on Wednesday, after the stock slid 3.2% on Tuesday, and TSMC's US-listed shares down 1.3%. Tech Times put Intel's rise at about 2%. These are press figures, not exchange data.

The X post itself could not be opened from here, so Musk's words are as the two outlets quote them. Terafab matters to the AI chip trade because it would add a large new US source of advanced chips outside TSMC, and the question of who operates it decides which chipmaker earns from it.

• Reported Musk wrote that TSMC might sublease part of Terafab “but nothing more than that”. Tech Times
• Reported Lip-Bu Tan told Bloomberg Intel would remain involved; Intel rose about 1.6% before the open and TSMC's ADR fell 1.3%. Investing.com