Tesla has entered into a $16.5 billion agreement with Samsung Electronics to produce its next-generation AI6 chips, a move aligned with CEO Elon Musk’s vision to expand Tesla’s role in artificial intelligence and robotics. The chips will be manufactured at Samsung’s new semiconductor foundry in Taylor, Texas, with production expected to begin in the coming years.

Tesla has signed a semiconductor deal with Samsung Electronics to produce its next-generation chips, continuing a multi-year partnership that already includes Samsung’s work on the current chips used in Tesla vehicles. “Samsung’s giant new Texas fab will be dedicated to making Tesla’s next-generation AI6 chip. The strategic importance of this is hard to overstate,” Elon Musk posted on X (Sinha, 2025). He added, “Samsung currently makes AI4. TSMC will make AI5, which just finished design, initially in Taiwan and then Arizona” (Sinha, 2025). The agreement runs through the end of 2033. While no specific timeline was given for AI6 production, Musk has said AI5 chips are expected to enter production by late 2026, suggesting AI6 could follow soon after.

The AI6 chip, part of Tesla’s evolving custom silicon roadmap, is expected to play a critical role in future Tesla technologies—including Full Self-Driving (FSD), autonomous vehicles, and the company’s humanoid robot, Optimus. Inference chips like AI6 are designed to run AI models and make real-time decisions based on sensor input, essential for autonomy and robotics.

Musk has emphasized that Tesla will collaborate closely with Samsung to enhance production efficiency. “Samsung agreed to allow Tesla to assist in maximizing manufacturing efficiency. This is a critical point, as I will walk the line personally to accelerate the pace of progress,” he said (Mousicos, 2025). Musk noted that the plant’s proximity to his residence was a logistical advantage.

This chip is designed to power not just Tesla’s Full Self-Driving, but also the broader AI workloads needed for Optimus and their data centers, according to Musk, describing the AI6 as an “all-in-one” solution for Tesla’s AI infrastructure. In a separate post, Musk said the $16.5 billion figure represents a baseline. “The $16.5B number is just the bare minimum. Actual output is likely to be several times higher,” he wrote (Yang & Jin, 2025).

Musk has repeatedly stated that Tesla is transitioning from an automotive company into one focused on artificial intelligence and robotics. The AI6 chip is the latest indication of that strategic shift. Future Tesla products—from autonomous vehicles to robots—require immense computing power and the AI6 chip is a key component of that future.