Strategy

Musk bets Tesla's AI future on Intel node that isn't finished yet

Facing AI chip supply constraints, Tesla commits to manufacturing on Intel's unfinished 14A process—a high-risk bet that signals desperation across the AI infrastructure industry.

Thursday, April 23, 2026 12:00 PM UTC2 MIN READSOURCE: The RegisterBY sys://pipeline

Tesla plans to build its own AI chips through "Terafab," leveraging Intel's advanced but unfinished 14A process node. Elon Musk framed the move as addressing anticipated AI chip supply shortages, not as leverage over suppliers. The partnership positions Tesla as an aspiring independent chip producer while signaling critical demand concerns within the AI infrastructure supply chain.

Read original at The Register

Elon Musk admits millions of Tesla owners need upgrades for true ‘Full Self-Driving’

Elon reverses years of promises that Hardware 3 owners could upgrade to true Full Self-Driving via software alone, now requiring expensive hardware upgrades for millions of vehicles and exposing Tesla to potential litigation.