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The scale of Terafab is insane. Tesla and SpaceX plan to initially invest $16.8 billion into the semiconductor complex in Grimes County, Texas. The site is planned to span around 100 million square feet and create at least 3,000 high-paying jobs. If fully expanded, total investment could eventually reach a whopping $119 billion. The goal is to bring chip manufacturing, advanced packaging and testing under one roof as Tesla and SpaceX prepare for chip demand exceeding 1 terawatt of compute. Those chips are expected to power Tesla’s Optimus robots and Cybercabs, along with SpaceX’s plans for space-based AI data centers. This is essentially Tesla and SpaceX trying to build their own massive semiconductor supply chain in America instead of depending entirely on outside chipmakers.