Musk says Tesla needs to build 'gigantic' chip fab plant to meet AI demand

Musk Calls for Gigantic Chip Fabrication Plant

Tesla, known for its electric vehicles, presently depends on contract manufacturers, including Taiwan Semiconductor Manufacturing Company (TSMC) and Samsung Electronics, to produce its custom chip designs.

Leading tech companies, including Tesla, are in fierce competition for increased supply from chipmakers such as TSMC, which is recognized as the world’s largest and most advanced semiconductor fabricator.

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First published: Nov 07, 2025 | 1:24 PM IST

Author’s summary

Tesla plans to establish a large chip manufacturing plant to secure enough supply for AI demands amid intense competition with other tech giants.

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Business Standard Business Standard — 2025-11-07