“We make a little fab and see what happens – make our mistakes at a small scale – and then we make a big one,” said Musk at the weekend.
By a big one, he means one million wafers a month and
he wants to get there by 2030.
By comparison TSMC’s total capacity was 1.3 million 12-inch equivalent wpm last year and is expected to be 1.5 million wpm this year.
The price for what Musk calls his Terafab is $20-25bn. Tesla currently has $44bn in cash.
At Tesla’s last AGM, Musk said the Terafab was necessary because: “I can’t see any other way to get to the volume of chips that we’re looking for.”
Musk already has a fab deal with Samsung and has talked about a possible manufacturing hook-up with Intel.
Electronics Weekly