Tesla Elon Musk Discusses TeraFab at ASML Conference; Project Expected to Spur EUV Tool Orders

　　Elon Musk is expanding his ambitions beyond EVs, AI, and space technology with TeraFab, a large-scale semiconductor manufacturing project in Texas. According to CNBC, during an ASML conference on Thursday, Tesla CEO Elon Musk outlined his TeraFab vision. As the only provider of a crucial EUV machine, ASML is widely expected to become a key supplier for the Texas-based fabrication plant.

　　Joining remotely at ASML’s annual technology conference, Musk took part in a fireside chat with CEO Christophe Fouquet. While the event was limited to employees, ASML confirmed Musk’s participation, the report states.

　　ASML also signaled support for the initiative. As noted by Reuters, the company said that Musk and his team are becoming part of the broader semiconductor ecosystem and that many companies, including ASML, will collaborate on the project.

　　For the project, SpaceX and its partner Tesla will invest an initial US$55 billion, with total investment potentially rising to US$119 billion if fully built out, as noted by Reuters.

　　TeraFab Fuels Equipment Demand Across the Supply Chain

　　In May, ASML CEO Christophe Fouquet said he had spoken directly with Elon Musk about the TeraFab semiconductor project, according to Tom’s Hardware, citing Reuters. While Fouquet did not disclose details of the discussions, he said projects such as TeraFab and Starlink are expected to place growing pressure on equipment suppliers’ capacity in the coming years.

　　Maeil Business Newspaper also notes that expectations for a surge in equipment demand have risen after Musk discussed the TeraFab project at the ASML Technology Conference. The report adds that ASML’s core equipment is expected to be essential to the project.

　　South Korean equipment makers are also seeking to capitalize on the opportunity. According to Seoul Economic Daily, Hanmi Semiconductor announced on June 12 that it will invest KRW 50 billion in SpaceX. The report says Hanmi aims to strengthen ties with SpaceX and position itself to supply key equipment for TeraFab.

　　Interest in the project has been building for months. According to Bloomberg, Musk’s team had reportedly contacted major chip equipment suppliers, including Applied Materials, Tokyo Electron, and Lam Research, regarding the planned facility. Sources said staff working for the Tesla-SpaceX venture had requested pricing and delivery information for a range of semiconductor manufacturing tools.