Elon Musk has shared a new video render of the upcoming Terafab facility in Texas, offering a rare glimpse of Tesla’s Robovan alongside the Optimus robot and other future products. The video, posted on August 6, 2026, highlights the ambitious scale and futuristic design of the joint Tesla-SpaceX-xAI chip factory project.
Robovan and Optimus Take Center Stage in Terafab Render
The latest Terafab video render, credited to SpaceX, showcases several of Tesla’s most anticipated products. Among them is the Robovan, a boxy, driverless vehicle designed to transport up to 20 passengers or cargo, which was first unveiled alongside the Cybercab at Tesla’s ‘We, Robot’ event in October 2024. The Robovan is intended to operate without a steering wheel or pedals, sharing its layout with the Cybercab, and is pitched by Musk as potentially costing under a dollar per mile to operate.
Also featured is the Optimus robot, which has progressed further toward production. Tesla began converting its Fremont facility’s old Model S and Model X assembly line into a Gen 3 Optimus production line earlier in 2026, with Musk visiting the site on July 1 to mark the transition. A larger Optimus plant is under construction at Giga Texas, aiming for volume production in summer 2027 and a planned capacity of 10 million units per year. Musk has stated that Optimus has ‘big shoes to fill’ and has pegged its long-term price between $20,000 and $30,000.
Terafab: The Texas Mega-Project
Terafab is a joint venture between Tesla, SpaceX, and xAI, first announced by Musk in March 2026. Intel joined as a manufacturing partner in April. The facility is planned for the Gibbons Creek site in Grimes County and will stretch roughly 2.5 miles (~4 km) in length. According to Musk, ‘Terafab Texas will be the largest and most valuable building on Earth by far,’ and he added, ‘And it will be stunningly beautiful.’
The render depicts a futuristic campus with Optimus robots, Robovans, a Tesla Semi, and a Cybercab operating around the site. The building features sharp-angled facades, illuminated horizontal bands, and a multi-level interior. Pedestrians are shown walking along a plaza next to a reflecting pool, while the skyline is marked by angular spires. One social media post described it as a ‘Futuristic scene with RoboVan + Cybercab + Tesla Semi + Optimus.’
Project Funding and Local Agreements
The Terafab project is described as a $55 billion chip manufacturing initiative at the Gibbons Creek Reservoir site. SpaceX confirmed the Grimes County location is secured, with construction set to begin within months as of August 2026. SpaceX has already sent Grimes County a $10 million payment as part of a tax abatement agreement signed in June 2026. The current phase of construction is valued at $16.8B (~AUD 23.8B).
SpaceX’s abatement is set at roughly 78 percent, with the company committed to paying Grimes County a fixed $20M (~AUD 28.4M) per year for 35 years, totaling $710M (~AUD 1B). This amount exceeds the $14M (~AUD 19.8M) Tesla paid Travis County in 2025. Additional tax break agreements with local school districts are also active.
Environmental and Infrastructure Commitments
SpaceX representatives addressed environmental concerns, stating that Terafab will not raise electric bills for other ratepayers, will not deplete local water supplies, and will not draw down the Navasota River. The company owns the Navasota River pumping station and plans to divert stormwater into the Gibbons Creek Reservoir. To power the facility, SpaceX will build its own natural gas plants rather than relying on the ERCOT grid.
Grimes County commissioners also approved an addendum allowing county employees to use ten approved AI chatbots for work, including Grok.
Public Reaction and Next Steps
The Terafab video quickly gained attention, surpassing 5.5 million views less than a day after it was posted. Public responses ranged from enthusiastic support—’God Bless Texas! Everything is bigger and better in Texas!’—to more cautious optimism about the project’s future.
Renderings of the facility were released within days of a public meeting where SpaceX and Terafab representatives confirmed the project’s timeline and agreements. Construction is expected to begin soon, with foundational work already underway.
Why this matters
The Terafab project represents one of the largest investments in chip manufacturing and AI infrastructure to date, with a planned output of over a terawatt of AI compute annually—far surpassing the current global industry capacity. The inclusion of advanced robotics like Optimus and autonomous vehicles such as Robovan highlights Tesla and SpaceX’s vision for automation and next-generation mobility.
For Texas and Grimes County, the project brings significant economic impact through long-term payments, job creation, and technological leadership, while also raising important questions about environmental management and infrastructure.
What this means for buyers
Buyers and investors should watch for further updates on the production timelines for both the Robovan and Optimus, as neither has a confirmed release date. The scale of the Terafab project signals Tesla’s and SpaceX’s commitment to expanding their product lines and manufacturing capabilities, which could influence the availability and pricing of future autonomous vehicles and robotics.
Those interested in advanced EVs, robotics, or AI infrastructure should monitor developments at Terafab, as the facility is set to become a major hub for innovation in these fields.
Key Specs
- Terafab Facility Length: 2.5 miles (~4 km)
- Robovan Passenger Capacity: Up to 20
- Robovan Target Cost: Under $1 per mile (claimed)
- Optimus Production Capacity (planned): 10 million units per year
- Optimus Long-Term Price: $20,000 (~AUD 28,352) to $30,000 (~AUD 42,527)
- Terafab Construction Value (current phase): $16.8B (~AUD 23.8B)
- Total Project Value: $55B (~AUD 78B)
- Annual Payment to Grimes County: $20M (~AUD 28.4M) for 35 years
