Samsung Chief and Elon Musk Tour Taylor Fab, Plan Closer Collaboration

Earlier this year, Samsung signed a massive $16.5 billion deal with Tesla to produce the carmaker’s next-generation AI6 chips. The two companies’ executives recently met to discuss progress on the project and explore other areas of cooperation. Tesla CEO Elon Musk even set up a workspace for himself inside Samsung’s new chip factory in Taylor, Texas.

Tesla CEO requests a dedicated workspace at Samsung’s Taylor facility

According to a report from Korea JoongAng Daily, Samsung Executive Chairman Lee Jae-yong met with Tesla CEO Elon Musk this week. The two leaders walked through Samsung’s semiconductor plant in Taylor, Texas, where the firm is gearing up to begin large-scale production of advanced chips. Samsung has invested more than 50 trillion won ($34 billion) into the facility.

During the tour, Lee and Musk reviewed the production lines while discussing yield goals and potential technology partnerships. Musk requested Lee to set up a dedicated workspace inside the Taylor plant. This will allow personnel to stay on site while monitoring chip production in real time. In fact, the two companies are already testing a new way of working together, in which the client participates at every stage of the chipmaking process. This includes everything from early design to production line configuration and packaging.

Meanwhile, Samsung will also take part in producing Tesla’s AI5 chips. While Samsung made the earlier AI4 chip, Tesla was expected to move fully to TSMC for the AI5. However, Musk recently confirmed that both Samsung and TSMC will make the AI5 chip. This shows that Tesla wants to maintain a deeper relationship with Samsung, not just for its next-generation chips but also for the current model.

By working more closely with Tesla, Samsung may gain a much-needed boost at its US factories and help it win new customers. This could improve the company’s reputation in the American market and attract major clients such as Nvidia and AMD.