TSMC open to Terafab collaboration but insists on controlling its own plants
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Taiwan Semiconductor Manufacturing Co. (TSM) is open to working with Elon Musk’s Terafab chipmaking project but insists on retaining control of its manufacturing operations.
During its third-quarter earnings call, TSMC Chairman and CEO C.C. Wei said the company generally does not allow customers to sublet or auction manufacturing capacity. He added that mask licensing agreements can enable limited cooperation in certain cases, but the practice is uncommon and accounts for a very small portion of the business.
The comments come as Musk’s Tesla (TSLA) and SpaceX (SPCX) pursue Terafab, a planned semiconductor manufacturing complex in Texas designed to produce chips for AI and computing needs.
Musk said earlier this month that the companies would build and operate Terafab themselves, with TSMC potentially subleasing part of the facility.
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