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Elon Musk has unveiled ambitious plans for Tesla's Terafab project in Texas, utilizing Intel's next-generation 14A process for AI chip production. To support these expanding ambitions in AI and robotics, Tesla has significantly increased its capital expenditure plan to $25 billion. Musk confirmed via X that production of the autonomous Cybercab has officially commenced at Gigafactory Texas, featuring a radical design without a steering wheel or pedals. This transition to large-scale manufacturing and infrastructure investment underscores Tesla's commitment to vertical integration and proprietary AI hardware. For Intel, securing Tesla as a high-profile foundry client remains a major milestone for its manufacturing division. This development highlights Tesla's strategy to secure its supply chain while accelerating the commercial deployment of self-driving technology.
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