Terafab targets major memory chip expansion

Terafab, the chip venture between Tesla and SpaceX, reportedly plans to produce 1 million wafers per month from 2032 onward, allocating around 700,000 to memory chips and 300,000 to logic. A procurement team visited Japan to discuss equipment purchases with local manufacturers. A single Texas plant would handle both types of chips, with a pilot fab potentially completed as early as July 2027.

Intel is reportedly supporting logic production with its 2 nm and 1.4 nm-class technology. A Taiwanese company has been floated as a potential memory technology partner, possibly Nanya, although no partner has been confirmed. The proposed memory capacity would rival Samsung’s estimated DRAM output of 650,000 to 700,000 wafers a month late last year. However, Terafab has not clarified whether its target covers DRAM alone or includes NAND, limiting the comparison.

The production timetable remains uncertain. During an October SpaceX call, Elon Musk placed ‘big error bars’ on reaching volume production by Q3 2028. A first SRAM test chip is planned for mid-2027 at Terafab’s Austin research lab, an earlier milestone ahead of the venture’s proposed manufacturing expansion.