SpaceX has announced plans to construct a semiconductor plant in Grimes County, with an estimated cost exceeding $16.8 billion and the potential to create 3,000 jobs. The project, named Terafab, was revealed by Governor Greg Abbott and SpaceX CEO Elon Musk this month.
The facility will span 100 million square feet, positioning it among the largest manufacturing structures globally. It will integrate various chip production processes, including design, logic, memory, and advanced packaging, all under one roof. The chips produced will be utilized in Tesla's Optimus humanoid robots, Cybercab driverless vehicles, and SpaceX's satellite-based data centers.
The state has approved a $30 million grant from the Texas Enterprise Fund for the project, which also qualifies for tax incentives through the Jobs, Energy, Technology and Innovation program. Both Iola Independent School District and Anderson-Shiro Independent School District have endorsed agreements related to the project, with local superintendents expressing support for the economic benefits it will bring.
Despite the announced investment figure, there is a discrepancy with a SpaceX filing that suggested an initial investment of $55 billion, potentially rising to $119 billion. No timeline for construction has been disclosed.
