00:00 Speaker A
What’s your take on this Terafab? Elon Musk making headlines, unveiling uh these chip manufacturing plans.
00:08 Speaker A
Now Elon Musk, listen, he swings big, right? We know that. What did you make of that though?
00:12 Speaker B
Well, look, I mean, there’s no question that there is more need for more US-based chip manufacturing.
00:20 Speaker B
So, fundamentally, that concept is absolutely valid.
00:24 Speaker B
Now, whether he can actually do it, I have some serious doubts. Part of the reason why you’ve got so much based around in Taiwan, for example, or in certain regions of China, is there’s a huge supply chain of components and chemicals and other other materials that have to be near you.
00:41 Speaker B
None of that is in place where he wants to do this. And so, it’s not just about him being able to build something that can create it. It’s like, what about all the people who have to supply all that stuff, who have to be right there.
00:54 Speaker B
It’s a much, much bigger deal and it typically can take, you know, a decade or more to get those in place and that’s even only if there’s guarantees and my guess is the costs are going to be astronomical even for him.
1:07 Speaker B
And so I I think it becomes a much more of a pipe dream and much more of a, you know, trying to generate good buzz, but realistically, I just don’t see how it’s possible.
1:14 Speaker A
I agree.