Outside Giga Texas (Jay Janner/Getty Images)

Giga Texas transformed the Austin landscape. Elon Musk thinks Terafab could be about 10x the size.

Watch Giga Texas grow from space.

3/25/26 12:57PM

Tesla’s upcoming chip plant, Terafab, is expected to dwarf anything the company has built before.

For comparison, its flagship factory, Gigafactory Texas, comprises roughly 10 million square feet across multiple floors on a 2,500-acre campus. Here’s a time-lapse of its construction from Planet Labs:

While Tesla hasn’t disclosed Terafab’s exact size, CEO Elon Musk has suggested it could be an order of magnitude larger — on the scale of 10x Giga Texas — and would require “thousands of acres.”

He’s also compared it to Samsung’s Texas semiconductor plant, which is expected to be around 8 million square feet. By Musk’s estimate, Terafab could be roughly 12x that size, close to 100 million square feet — or nearly 2,000 football fields.

Early speculation pointed to a structure shown near Giga Texas in Tesla’s presentation, but Musk later clarified that the building, about 2 million square feet, was “just the little advanced technology fab, where we will be iterating on chip designs.”

“We couldn’t possibly fit the Terafab on the GigaTexas campus,” Musk wrote on X. “It will be far bigger than everything else combined there.” He said several locations are currently under consideration for it.

No, that’s just the little advanced technology fab, where we will be iterating on chip designs.

We couldn’t possibly fit the Terafab on the GigaTexas campus. It will be far bigger than everything else combined there.

Several locations for Terafab are under consideration. It…
— Elon Musk (@elonmusk) March 22, 2026

Jon Keegan12h

FT: Meta considering “tens of billions” in new capital to fund AI

Just days after Google announced a monster $85 billion upsized equity raise, the extremely profitable Meta is seeking to sell “tens of billions of dollars” in stock, according to a new report from the Financial Times.

Meta is planning on spending between $125 billion and $145 billion on AI capital expenditure this year alone.

Shares dropped more than 5% on the news.

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FT: Anthropic staff helping the NSA use Mythos for offensive cyberattacks

Anthropic’s Mythos AI model was deemed too dangerous to release to the public, with the company citing its ability to orchestrate novel cyberattacks.

And that’s just what the National Security Agency is doing, with the help of Anthropic staff embedded at the agency, according to a report from the Financial Times.

Only a small number of companies and US allies have been given access to the advanced model, which means America’s adversaries have not had the chance to shore up their defenses against the AI model’s new offensive capabilities.

The arrangement is especially unusual as the Pentagon has deemed Anthropic’s AI a national security supply chain risk — effectively blacklisting it for defense work — in response to the company’s refusal to allow its technology to be used for any legal application, which could include autonomous killing or mass surveillance. Anthropic is currently suing the US government to fight the determination.

US National Security Agency using Anthropic’s Mythos for cyber attacks

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Longtime Tesla bear JPMorgan upgraded Tesla and raised its price target to $475 from $145

For more than a decade, JPMorgan was Wall Street’s most stubborn Tesla skeptic, anchored by auto analyst Ryan Brinkman’s strict focus on traditional car fundamentals and near-term delivery numbers.

But JPM recently handed coverage of the stock to a new analyst, Rajat Gupta, who is throwing that playbook out the window. In a note Friday, the firm upgraded Tesla to “neutral” from “underweight” and raised its price target 228% to $475 from $145. (The analyst consensus on FactSet is $403.) Instead of focusing on the company’s struggling vehicle business, the new analyst is orienting himself more toward Tesla’s idea of the future, now modeling Tesla’s physical AI and robotaxi fleets all the way out to the year 2040.

Here are the main reasons for the capitulation:

Looking past the car lot: Gupta argues that Tesla “is at the forefront of physical AI, entering uncharted TAMs” and therefore “deserves the benefit of the doubt to be valued on LT earnings potential” rather than near-term speed bumps.
Unmatched vertical integration: Tesla’s control over everything from battery cells to custom silicon gives it a massive moat. JPM notes this starting point advantage is “unmatched at an industrial level scale” and “still somewhat under-appreciated and misunderstood.”
The AWS flywheel effect: Deploying Optimus robots inside its own factories “should not only lower COGS for the base automotive business, but more importantly, help validate the product at an industrial scale.” Gupta called it “a classic flywheel effect, somewhat analogous to AWS and Kiva at AMZN.”

For Tesla bulls who have argued for years that this is an AI company and not a carmaker, JPM’s sudden $3.9 trillion valuation model is the ultimate validation.

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