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Musk Taps Intel for Tesla's AI Chip Future
23 Apr
Summary
- Tesla plans to use Intel's 14A process for AI chips.
- Intel secures its first major customer for new technology.
- Terafab project aims for massive computing capacity.

Tesla CEO Elon Musk revealed that the electric vehicle maker intends to leverage Intel's next-generation 14A manufacturing process for chips within its ambitious Terafab project. This advanced AI chip complex is slated for development in Austin, Texas, signaling a potentially groundbreaking collaboration.
The agreement represents a crucial breakthrough for Intel's contract manufacturing business, as it secures its first significant external customer for the 14A technology. This development is vital for Intel's strategy to compete with major rivals in the semiconductor industry.
Musk stated that the 14A process appears to be the right choice given Intel's capabilities and Tesla's ongoing relationship with the chipmaker. The Terafab project itself is designed to be a massive undertaking, with the ultimate goal of producing one terawatt of computing capacity annually.
While many details of the Terafab project, including funding and operational timelines, remain undisclosed, industry analysts view Musk's endorsement of Intel's technology as a substantial positive, even with the project's inherent uncertainties.