SpaceX’s Terafab will rely on natural gas power plants, not Tesla solar panels
SpaceX plans to power its new Terafab semiconductor factory in Texas using natural gas power plants rather than solar energy. This decision aligns with Elon Musk's recent shift toward fossil fuel-based energy for his AI data centers, despite his involvement in the solar industry.
Why it matters
The reliance on natural gas for AI infrastructure highlights the massive energy demands of the current AI boom and the challenges of transitioning to renewable energy for industrial-scale computing.
SpaceX said this week that it will build natural gas power plants to supply electricity to the Terafab semiconductor factory it plans to build in Texas, according to a report from Bloomberg.
Riley Trettel, who leads energy and data center development for SpaceX, said in a public meeting on Wednesday that his company will be “bringing our own power” for the project, which will also include “very large battery arrays.”
Notably absent from the Bloomberg report — and other SpaceX announcements related to Terafab — is any mention of terrestrial solar power for the facility. Tesla, which is also a solar developer, is a partner in the project.
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