Intel stock jumps after it joins Elon Musk's Terafab chip-building moonshot

• Intel is teaming up with Elon Musk to help with his Terafab chip project.
• The chipmaker's stock jumped after it announced the partnership with SpaceX, xAI, and Tesla.
• Musk previously said the giant chip factory will produce chips for robotaxis, robots, and data centers in space.

Elon Musk's chipbuilding megaproject has a new partner: Intel.

The US chipmaker said on Tuesday it would join SpaceX, xAI, and Tesla to help build Terafab, an ambitious plan to construct a series of enormous semiconductor fabs to produce chips for robotaxis, humanoid robots, and solar-powered data centers in Space.

"Our ability to design, fabricate, and package ultra-high-performance chips at scale will help accelerate Terafab's aim to produce 1 TW/year of compute to power future advances in AI and robotics," Intel wrote in a post on X.

The company posted an image of Musk with Intel CEO Lip-Bu Tan, and said that Musk had visited Intel over the weekend.

Intel's share price was up nearly 5% in early trading.

This is a breaking news story. Check back for updates.