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Intel Lands Tesla as First Major Customer for 14A Chip Technology

Tesla said the deal would give Intel its first major 14A customer and help fund a chip complex aimed at cars, robots and data centers.

  • On Wednesday, Tesla CEO Elon Musk announced plans to use Intel's advanced 14A manufacturing process for chips at the Terafab project, marking Intel's first major external customer for the technology.
  • Earlier this month, Intel joined the Terafab AI chip complex alongside Musk-controlled SpaceX and Tesla to build processors fueling robotics and data center ambitions.
  • Intel's manufacturing technology aims to compete with Taiwan Semiconductor Manufacturing, and Ben Bajarin of Creative Strategies said the technology could "turn out to be a bigger deal for Intel than folks thought."
  • Shares of Intel climbed roughly 3.14% following the announcement, while Tesla reported first-quarter revenue of $22.71 billion, up 16% year-over-year.
  • Tesla raised its 2026 capital-spending plan to more than $25 billion from $20 billion on Wednesday, though many details of the Terafab project including funding and operational roles remain unknown.
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Tesla CEO Elon Musk wants to rely on Intel's technology for his planned Terafab chip center in Austin, Texas. The US electrical manufacturer is planning to use Intel's new 14A finishing process for the production of high-performance chips, announced Musk on Wednesday. Intel will win the first major external customer for this technology. This is a breakthrough for the Group's order manufacturing business, which is in competition with TSMC, the wo…

·Vienna, Austria
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Tesla tap Intel's advanced 14A chip for Terafab project

Elaine Chen, DIGITIMES Asia, Taipei

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Reuters broke the news in United Kingdom on Wednesday, April 22, 2026.
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