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Tesla Intel Deal

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Tesla Intel Deal

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Benzinga

818 Views • Apr 23, 2026

Description

Tesla CEO Elon Musk announced plans to use Intel's next-generation 14A manufacturing process to produce chips at Tesla's Terafab AI chip complex in Austin. The deal gives Intel its first major customer for the technology, a critical step as Intel has warned it may exit contract manufacturing without external customers. Intel shares rose 3.6% in extended trading. Terafab will include two chip factories for vehicles, humanoid robots, and space data centers.