Intel has announced it will participate in Elon Musk’s Terafab initiative, resulting in a more than 4% climb in the company’s shares.
The Terafab project, a collaboration between SpaceX and Tesla, aims to establish a semiconductor manufacturing hub in Texas. This hub will focus on producing chips for satellites, robots, autonomous vehicles, and data centers.
Intel’s involvement marks a surprising development in the chipmaker’s efforts to regain market position. The partnership will combine Musk’s ambitions in robotics and AI with Intel’s semiconductor manufacturing expertise.
The project intends to create processors powering Tesla’s, SpaceX’s, and xAI’s technological advancements.