Terafab Visits About 10 Korean Company Booths at SEMICON West

Tesla and SpaceX's planned Terafab project visited about 10 South Korean company booths at SEMICON West 2026 as the companies pursue an AI-chip manufacturing complex in Texas.

The visits took place on the trade show's opening day. Citrini analyst Jukan said Terafab is excluding Chinese suppliers and asking Korean companies to quote prices below those of Chinese vendors. Jukan said the turn toward Korean firms followed concerns about the cost of Japanese products.

Lam Research and Applied Materials have established dedicated Terafab teams. The initial facility is expected to have capacity for about 100,000 wafers per month and could be completed before 2030.

Terafab is working with Intel on logic chips and has contacted Taiwan Semiconductor Manufacturing Co. (TSMC). The memory-chip effort would use a separate manufacturing process.

Elon Musk previously said Tesla and SpaceX would build and operate the Texas facility, with TSMC potentially leasing part of the site.