Samsung Electronics Begins Prototype Production of Tesla AI5 Chip at Taylor, Texas Factory

On September 18, Samsung Electronics began prototype production of Tesla’s next-generation AI5 chip at its Taylor foundry in Texas, USA. The facility was originally scheduled for full-scale production in November, but Samsung has moved forward with prototype manufacturing to accelerate yield validation. Mass production validation is expected to be completed by year-end, with full chip supply to Tesla slated for 2027. In 2025, Samsung and Tesla signed a $16.5 billion chip supply contract. The Taylor plant is currently producing wafers using a 2nm process, with some production lines already dedicated to manufacturing AI5 chips for delivery to Tesla in 2027 while simultaneously advancing final mass production validation. The AI5 chip will power Tesla’s Full Self-Driving technology, Model 3 and Model Y electric vehicles, Cybercab autonomous taxis, Optimus humanoid robots, and AI data centers. Yield validation is expected to wrap up around year-end. Samsung has also begun preparations to build a second fab on the same site, with a groundbreaking ceremony planned for late 2026. The second wafer fabrication plant, expected to commence operations around 2030, will utilize a 1.4nm process node.