SpaceX has announced plans to build a semiconductor manufacturing plant in Grimes County, with an estimated cost exceeding $16.8 billion and the potential to create 3,000 jobs. This project, named Terafab, was revealed by Governor Greg Abbott and SpaceX CEO Elon Musk this month.
The facility will cover 100 million square feet, making it one of the largest manufacturing buildings 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.
To support this initiative, the state has provided a $30 million grant from the Texas Enterprise Fund and the project qualifies for the Jobs, Energy, Technology and Innovation program. Both school districts in Grimes County have approved agreements related to the project.
Iola ISD Superintendent Jeff Dyer stated that the tax incentives were in the district's best interest, while Anderson-Shiro ISD Superintendent Sarah Borowicz described it as a defining moment for their district.
While the state and SpaceX have announced the initial investment as over $16.8 billion, a SpaceX filing suggested a much larger initial investment of $55 billion, potentially rising to $119 billion. The discrepancy between these figures has yet to be clarified by either party. No construction timeline for the facility has been disclosed.
