Elon Musk is pushing an internal semiconductor manufacturing initiative at Tesla called “Terafab,” a project reportedly valued at $55 billion and described as a cross-company effort involving both Tesla and SpaceX.
According to Odaily, as the project moves forward, expectations have increased that Musk may propose a merger between Tesla and SpaceX.
The report said the two companies are already operating with closer coordination across several key technology areas based on their organizational structures. It added that multiple executives, including Charlie Kuehmann, reportedly hold important roles at both companies, with cross-company management and collaboration mechanisms forming in core technical areas such as materials engineering.
The analysis described Terafab and the integration of personnel and resources across the two companies as part of Musk’s push for a “unified technology stack and manufacturing system,” bringing Tesla and SpaceX closer to a quasi-integrated operating structure in some key links.
Elon Musk Advances Tesla’s Terafab Chip Project, Report Says
2026-07-02 11:55:52
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