Musk says Samsung's Texas fab outclasses TSMC's US-based fabs — with AI5 still in development, questions remain over whether Tesla will need advanced tools

Elon Musk announced that Tesla will produce its AI5 processor in the U.S., sourcing from both TSMC and Samsung Foundry. Musk claimed Samsung's Texas fab is more advanced than TSMC's Arizona fab, raising questions about the necessity of advanced tools for Tesla's AI5 chip. The AI5 chip is expected to be significantly more powerful than the AI4, with plans for broad usage across Tesla's products. While details about the AI5 chip's configuration remain unknown, production is anticipated to start in late 2026 or early 2027. Tesla may leverage Samsung's more advanced fab for AI5 production, but the impact on production speed may be limited.