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Tesla and Samsung Seal $16.5B AI6 Chip Deal in Texas

Tesla CEO Elon Musk announced on July 28, 2025, a $16.5 billion multiyear chip supply deal with Samsung to source AI chips in Texas.
The deal follows Samsung's prior announcement of a supply agreement without naming its client, which was later confirmed as Tesla to protect trade secrets.
Samsung's new fabrication facility in Taylor, Texas, set to begin operations in 2026, has been tasked with manufacturing Tesla's upcoming AI6 chip, with Tesla playing a role in enhancing production efficiency.
Musk indicated that the $16.5 billion estimate represents a baseline and anticipates the final amount to be multiple times greater, emphasizing his personal commitment to driving faster advancement in the project.
The deal aims to help Samsung narrow losses in its contract chip business amid rising competition, while Samsung shares surged nearly 7% on the Korean stock exchange after news of the agreement.

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Houston Chronicle

Center

Two tech giants strike $16.5B deal for Texas manufacturing

Samsung's Texas fab will be dedicated to making Tesla's next-generation chip, Elon Musk said.

16 hours ago·Houston, United States

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Fortune

Center

Samsung's chip business just scored its biggest deal from a single customer ever, courtesy of Elon Musk

Tesla is up 0.2%, and Samsung's stock in South Korea jumped 6.8%, as U.S. stocks hover near record highs.

17 hours ago·New York, United States

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Infobae

Lean Left

Elon Musk Joins Samsung to Manufacture Tesla Chips in the United States: Know the Strategy

The CEO of the company explained that the Korean company will be responsible for manufacturing the AI6 chip at its Taylor, Texas plant.

18 hours ago·Buenos Aires, Argentina

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CBS Austin

Center

$16 billion Tesla/Samsung deal is expected to be a big win for town of Taylor

Tesla CEO Elon Musk says he has signed a $16-billion chip deal with Samsung. It is a major win for both Austin area companies and the town of Taylor."Elon Musk

19 hours ago

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100% FED UP!

Far Right

Tesla Lands $16.5 Billion Deal To Produce AI Chips, Musk Says "Bare Minimum" * 100PercentFedUp.com * by Danielle

Electric vehicle giant Tesla signed a $16.5 billion deal with Samsung Electronics to manufacture next-generation chips. Tesla CEO Elon Musk […]

19 hours ago

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Business Insider

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Elon Musk is going founder mode on Tesla's $16.5 billion chip deal with Samsung

After Tesla signed a semiconductor deal with Samsung, Elon Musk wrote that he would "walk the line personally to accelerate the pace of progress."Marc Piasecki/Getty ImagesElon Musk wrote that he would "walk the line personally" of Samsung's Texas chipmaking plant that will make Tesla chips.Samsung's chip plant is only miles away in Taylor, which Musk wrote was "convenient."Musk has previously employed a hands-on, "founder mode" approach to runn…

19 hours ago·United States

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