Elon Musk’s ambitious Terfab plan revealed: What to know

Musk expects the economic value of Terafab’s output from a single building to rival the GDP of a major global economy

Published October 20, 2026
Elon Musk’s ambitious Terfab plan revealed: What to know
Elon Musk’s ambitious Terfab plan revealed: What to know

In a major update, Terafab’s projected output could be so large that its production value ranks among the world’s top national economies, all generated from a single structure.

Elon Musk's post reads: “ The value of Terafab’s output will place it in the top 20 of a country's GDP in a single building.”

Musk’s Terfab is rapidly building its chip supply chain. According to the Elec, Tesla and SpaceX are in crucial talks with about 10 South Korean semiconductor suppliers, with more than half already signed non-disclosure agreement, discussions span chipmaking materials, equipment and testing components.

The core idea of Terafab is to bring everything under one roof; it was earlier revealed that Intel joined the project as a co-optimization partner to implement next-gen 14A technology.

On social platform X, users have been responding with one writing, “ Terafab will be more than fabulous.”

Second added, “Terafab is the modern day Manhattan Project. It is absolutely critical that it gets built so in the event of a war, the West does not find itself collapsing due to a chip shortage. It is also needed to be able to keep growing the economy, it is a wealth generation factory.”

Ruqia Shahid
Ruqia Shahid is a reporter specialising in science, focusing on discoveries, research developments, and technological advancements. She translates complex scientific concepts into clear, engaging stories, helping readers understand the latest innovations and their real-world impact through accurate, accessible, and insight-driven reporting.