Elon Musk is thinking about outsourcing some of Tesla’s chip production to Intel Foundry and even establishing the company’s own chip production operation, he said at the company’s Annual Shareholder Meeting event. Musk is perhaps the first executive of a big company to consider building an entire semiconductor production facility due to the extreme complexities and costs associated with such a project. Jensen Huang, chief executive of Nvidia, already reacted to Musk’s musings, noting that the head of Tesla may be underestimating the challenge.
“I think we may have to do a Tesla TeraFab,” Musk said. “It is like [TSMC’s] Giga[fab] but way bigger.”
