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How does the Advanced Technology Chip fab (joint venture between @Tesla and @SpaceX) look today? Most of the progress is on the main foundation which for now appears rectangular, GeoPiers are at work on the part of the foundation that has had gravel mix placed on the top soil and… pic.twitter.com/bCGjveCqIp July 22, 2026
In the above post, the all-things-space enthusiast notes that the ATCF already appears to be very well defined. “GeoPiers are at work on the part of the foundation that has had gravel mix placed on the top soil and more work grading on the south end,” he explains.
Progress at the @SpaceX & @Tesla joint Advanced Technology Chip Fabrication factory has hit another gear, with the foundation not only taking shape, but expanding longer to the S. The beveled corners that we saw in the original render have yet to emerge, so I’m not sure if this… pic.twitter.com/rQOBfEMLPS July 27, 2026
A few days later, there was an update with progress clearly accelerating, according to Tegtmeyer. As well as commenting on the shape of the facility becoming ever clearer and construction materials continuing to be stockpiled, there are other important signs of progress. Specifically, “4 new permits were filed in the past few days for the large trailer complex that houses the general contractors and the temporary Tesla offices for the new facility,” noted the enthusiast. “[It is] a great sign that things are progressing rapidly behind the scenes to fit out the facility when construction progresses far enough to allow for equipment installation.”
Importantly, Tegtmeyer reminds his followers that the ATCF is not the Terafab that will be built ~ 100 miles or so to the East in Grimes County, Texas. Rather, the ATCF is the equally vital but “smaller development facility that is the first part of the overall AI Chip development program.”
The ATCF is a joint Tesla–SpaceX facility, and is a keystone for the Tesla, SpaceX , and xAI accelerator chips to come. It is expected that chips from the ATCF will combine logic, memory, and advanced packaging under one roof. Projects spawned from here are destined to support Tesla cars and Robotaxis, Optimus robots, and upcoming Earth-orbiting AI data centers.
SpaceX files for $55 billion semiconductor fab in rural Texas for Musk's Terafab
ASML CEO says Elon Musk is 'very serious' about TeraFab chipmaking megaproject, confirms direct talks
Elon Musk's SpaceX secures 100% property tax exemption for planned $55 billion Terafab semiconductor factory in Texas
That’s distinct from the much larger, multi-phase, vertically integrated, 1TW/year Terafab megaproject , which will see collabs between Tesla, SpaceX, xAI, and Intel. It has massive AI computer production ambitions to feed terrestrial and space-based AI systems. We are still awaiting evidence that the Terafab has moved beyond the pre-construction phase.
If there were any doubt about the seriousness of Musk's semiconductor design and fabrication ambitions in these and other progress reports, ASML CEO Christophe Fouquet recently confirmed talks with Musk had taken place about building one of the largest chip manufacturing operations ever attempted. SpaceX has also already filed for a $55 billion facility in Grimes County, Texas, with potential expansion costs reaching $119 billion, and phase one potentially beginning before the end of the year. Meanwhile, it is good to see the rapid progress of the smaller ATCF.
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Key considerations
- Investor positioning can change fast
- Volatility remains possible near catalysts
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Reference reading
- https://www.tomshardware.com/tech-industry/semiconductors/SPONSORED_LINK_URL
- https://www.tomshardware.com/tech-industry/semiconductors/drone-flyover-reveals-rapid-progress-at-elon-musks-atcf-chip-fab-texas-site-prepares-for-all-in-one-logic-memory-and-packaging-facility#main
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