Elon Musk Weighs SpaceXSI Rebrand as Tesla, SpaceX and TSMC Discuss Terafab Expansion
Elon Musk may be preparing another major branding shift, this time around the fast-growing artificial intelligence ambitions tied to SpaceX. Following President Trump’s recent directive encouraging the use of “super intelligence” or “SI” instead of artificial intelligence, Musk has signaled that SpaceX’s AI-focused operation could eventually be renamed SpaceXSI.
The idea fits with Musk’s broader view of SpaceX as far more than a rocket company. In his words, SpaceX is becoming a super intelligence company, with advanced computing expected to play a central role in robotics, autonomous vehicles, orbital infrastructure, and future space-based data systems.
The possible name change comes at a time when Musk’s technology empire is moving deeper into high-performance computing. SpaceX and Tesla are reportedly in discussions with TSMC about the massive Terafab project, a proposed manufacturing and compute initiative designed to support next-generation AI workloads on an enormous scale.
President Trump formally adopted the term “super intelligence” on September 22 and encouraged the U.S. government to use SI as the preferred label going forward. He has also announced the Super Intelligence Force initiative, which is expected to coordinate between federal agencies and private companies working on advanced SI technologies.
Musk appears willing to align with that shift. While no official rebrand has been completed, the SpaceXSI name would directly reflect the new language being promoted at the federal level and could help position SpaceX as one of the leading companies in the emerging super intelligence race.
At the center of the latest developments is Terafab, a joint effort involving SpaceX and Tesla. The project’s long-term goal is ambitious: produce at least 1 terawatt of AI compute annually. That level of computing power could be used for Tesla Optimus robots, self-driving technology, and space-based AI data centers linked to SpaceX’s future infrastructure plans.
The first phase of Terafab is already being developed in Grimes County, Texas, with an initial investment estimated at $16.8 billion. However, the total cost of a full buildout could reportedly exceed $100 billion, making it one of the most capital-intensive technology projects in the United States.
That scale helps explain why Musk’s companies are exploring potential cooperation with TSMC. The Taiwan-based chipmaking giant is the world’s most important advanced semiconductor manufacturer and already plays a key role in producing high-performance processors and GPUs used across the AI industry.
Intel joined the Terafab initiative in April 2026, with plans to contribute its 14A process technology and advanced packaging capabilities. The goal is to bring more advanced chip production to the United States while strengthening domestic semiconductor supply chains.
Adding TSMC to the mix could create a more balanced and powerful manufacturing structure. While Intel may provide key process and packaging support, TSMC could offer deep experience in leading-edge chip fabrication and large-scale foundry operations.
Musk described the TSMC matter as “just discussions,” while adding that something may come from it. That suggests no final deal has been reached, but the talks appear significant given the size and strategic importance of Terafab.
One possibility reportedly being considered is a TSMC-operated fab in Texas, with Terafab acting as a major anchor customer. That arrangement could involve equity participation, long-term purchase commitments, or a combination of both. Such a structure would reduce some of the financial burden on Tesla and SpaceX while giving TSMC a guaranteed buyer for advanced semiconductor output.
The potential TSMC partnership could also strengthen NVIDIA’s role inside Musk’s AI infrastructure plans. Musk has already leaned heavily on NVIDIA hardware for advanced compute systems, and NVIDIA’s top-tier GPUs are manufactured by TSMC. If Terafab expands with TSMC support, NVIDIA-powered infrastructure could remain central to the project’s computing roadmap.
Still, there are cost challenges. TSMC has previously stated that wafers manufactured in Arizona are roughly 30% to 40% more expensive than those produced in Taiwan. Expanding further in the United States could increase production costs, especially as labor, construction, supply chain, and regulatory expenses differ from TSMC’s established operations in Asia.
Even so, the strategic benefits may outweigh the added expense. For Tesla and SpaceX, domestic access to advanced chips could reduce geopolitical risk and improve supply certainty. For TSMC, a deeper U.S. presence tied to one of the world’s most ambitious compute projects could reinforce its importance in the global AI supply chain.
The possible SpaceXSI rebrand and the Terafab discussions both point to the same broader trend: Musk is positioning his companies for a future where computing power becomes as essential as rockets, cars, and robots. Whether the focus is autonomous driving, humanoid robotics, orbital data centers, or next-generation AI systems, the demand for advanced semiconductors is only expected to grow.
If the talks with TSMC move forward, Terafab could become one of the most important AI infrastructure projects in the United States. And if SpaceXAI becomes SpaceXSI, the new name would signal Musk’s intention to place SpaceX directly at the center of the super intelligence era.
