ASML CEO Confirms Talks With Elon Musk on Massive TeraFab Chipmaking Project

ASML CEO Christophe Fouquet has spoken directly with Elon Musk about the TeraFab semiconductor project. Fouquet told Reuters that Musk is "very serious" about the effort to build one of the largest chip manufacturing operations attempted. TeraFab, announced in March with an initial $20 billion investment, plans to produce logic chips, memory, and advanced packaging in Texas. Intel joined the project in April and will contribute its 14A process technology. SpaceX has filed for a $55 billion semiconductor facility in Grimes County, Texas, with potential expansion costs reaching $119 billion. Fouquet warned that soaring AI demand will leave the global semiconductor industry short on capacity for the foreseeable future. ASML is the sole supplier of EUV lithography systems needed for leading-edge chips.