Tesla just wrapped up its earnings call for the 2025 fiscal year, in which it recorded that its year-on-year profits dropped by nearly half. Its GAAP net income came to US$3.8 billion, down from $7.1 billion in 2024,

Elon Musk said Tesla Inc. needs to build and operate what he is calling a “TeraFab” to manufacture semiconductors, a massive undertaking that will cost billions of dollars and mark another expansion beyond what had been the company’s core electric vehicle business.

Tesla considers building "Terafab" chip factory to meet AI demands, targeting AI5 and future chips, citing supply and geopolitical risks.

The Austin push is planned for February, insiders told Business Insider. Tesla has been training Optimus in its Fremont factory for more than a year.

Prior to being appointed Director of Vehicle Operations and Engineering at Fremont in 2023, Bate was Director of Manufacturing for both Tesla’s Model 3 and Model Y vehicles. ・Electrek noted that the departure is the latest of a streak of exits at the EV giant.

Tesla is expanding near its Fremont factory, signing one of Silicon Valley’s largest recent research-and-development leases.

Tesla plans to more than double capital spending to a record high of more than $20 billion this year - but little of it will go to its traditional business of selling electric vehicles to human drivers.