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

Musk Highlights Need for Gigantic Chip Fabrication Plant

Tesla currently depends on contract manufacturers like Taiwan Semiconductor Manufacturing Company (TSMC) and Samsung Electronics to produce its chip designs.

Competitive Pressure in the Chip Industry

Leading technology companies, including Tesla, are vying for increased chip supply from TSMC, which stands as the world’s largest and most advanced semiconductor manufacturer.

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Publication Information

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

Author’s summary: Tesla plans to build a massive chip factory to meet soaring AI demands amid fierce competition for semiconductor supplies from leading manufacturers.

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Business Standard Business Standard — 2025-11-07

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