Elon Musk may be easing his demand to control Terafab, a chip venture involving SpaceX Corp (NASDAQ:SPCX) and Tesla Inc (NASDAQ:TSLA) .
He previously offered Taiwan Semiconductor Manufacturing Co (ADR) (NYSE:TSM) , only the option of subleasing part of the site.
TriOrient research executive Dan Nystedt said on X that discussions with TSMC would cover operational control, joint investment, technology, and bottlenecks in packaging and components.
Those discussions follow Musk's statement last month that he would build and run the facility. He said: "No, we will build and run the fab. Let there be ZERO doubt about that."
TSMC CEO CC Wei also confirmed talks last month, but stipulated that any participating fab must be run by TSMC .
Alongside those discussions, Terafab has a timetable for chip production.
The venture, which also counts Intel as a partner, is targeting its first test chip around May or June 2027.
It aims to begin volume production in the third quarter of 2028.
